SCC Offers Advice On Robo Advisors

The State Corporation Commission’s (SCC) Division of Securities and Retail Franchising encourages Virginians to do their homework before investing with a robo-adviser, just as they would before investing with a human advisor. A robo-adviser is an electronic platform that uses computer algorithms to provide automated financial planning services to clients based on such things as goals, risk tolerance and investment horizon. Robo-advisers typically come with lower fees and easy-to-use smartphone apps and online portals. Investment product offerings, fees, levels of service and overall approach can vary from one robo-adviser to the next.