With the rise of fintech and online investing platforms, roots investing has emerged as a popular choice for retail investors. This innovative platform aims to make investing accessible and affordable for everyone. But how good is roots investing really? In this article, we take an in-depth look at the features, fees, offerings, and reviews of roots investing to see if it lives up to the hype. By evaluating its strengths and weaknesses, investors can determine if roots investing is the right fit for their needs.
Roots investing aims to simplify investing for beginners
As a robo-advisor, roots investing is designed to make investing easy for those just starting out. The account opening process is simple with no minimums. Users are asked a few questions to assess their risk tolerance and goals. Then roots investing will recommend a suitable portfolio of ETFs and automatically rebalance it over time. This hands-off approach helps beginners build a diversified portfolio without needing extensive investment knowledge.
Roots investing offers automatically optimized portfolios
Roots investing uses advanced algorithms to construct and manage your investment portfolio. Based on your inputs during account opening, it will design an asset allocation using low-cost ETFs. This automated investing approach constantly monitors your portfolio and rebalances to maintain your original target asset allocation. Rather than picking individual stocks and funds, roots investing handles portfolio optimization for you behind the scenes.
Roots investing has low fees compared to traditional advisors
One of the main appeals of robo-advisors is their low account fees compared to traditional human advisors. Roots investing has an annual advisory fee of 0.5%. Account values under $10,000 aren’t charged any advisory fee. This fee structure is very competitive in the robo-advisor space. For larger portfolios over $2 million, the fee drops to just 0.35%. So roots investing can offer professional money management at a fraction of the cost of traditional advisors.
Roots investing offers comprehensive educational resources for investors
Roots investing aims to educate users at every step of their investing journey. Their website provides a wealth of resources such as investing guides, explanatory videos, monthly market updates, and quarterly webinars. For hands-on learning, roots investing offers Paper Trading accounts where users can test investment strategies with fake money. Overall, roots investing has made investing education a priority so users can keep improving their knowledge.
Reviews show high satisfaction among roots investing users
Across major review sites, roots investing earns very positive reviews from users. On Trustpilot, roots investing has a ‘Great’ rating of 4.8 out of 5 stars. Users praise the simple user experience, solid returns generated by algorithms, and quality customer support. Negative reviews focus on occasional website glitches. But roots investing has responded well to these issues. On Investimonials, roots investing has a 4.8 score as well. So while no investing platform is perfect, reviews indicate high satisfaction overall among roots investing clients.
In summary, roots investing provides an easy-to-use robo-advisor platform with automated investing, low fees, and great educational resources. User reviews are overwhelmingly positive. For beginners looking for an affordable, hands-off way to invest, roots investing is definitely worth considering.