Are there internationally available robo-advisors?


1. Term: A robo advisor is an intelligent system that uses algorithms and regularly provides investment recommendations for optimized portfolio management without human involvement. On the basis of the individual asset situation, investment goals and risk preferences, the procedures determine efficient portfolios, weighing the expected risks and returns of the available investment opportunities (see also capital market theory). Exchange-traded funds are the preferred investment instruments due to their comparatively low costs. A robo-advisor system can usually implement the corresponding recommendations directly and automatically for the customer. Such systems for supporting human investment advisors are also common.

2. Potential and Criticism: After the initial programming effort, a robo-advisor can be scaled comparatively easily and thus brings considerable cost savings. This concept can be advantageous for both the client and the investment advisor, especially with smaller assets, where personal investment advice generates relatively high costs. The area of ​​investment advice is strictly regulated, e.g. B. by the Securities Trading Act (WpHG), and a robo-advisor must show certain licenses depending on the business model. In addition, a personal contact person is still very much appreciated by customers and cannot be replaced by a robot.

3. Outlook: After individual FinTechs entered the market for automated investment advice, many established banks have now also launched corresponding offers. More and more often, the robo-advisor is combined with personal customer advice and support. Another trend is an increasing individualization of the system concepts, e.g. B. divided according to certain customer groups or with a special focus on sustainability.
See also agent and avatar.