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5 Free Robo-Advisors – The Best Way to Manage Your Investments

Consumers rejoice! In a race to the bottom, investment management fees are shrinking. And if low fees aren’t enough, there are a handful of robo-advisors that offer free robo-advisor investment management. These free robo-advisors typically invest your money in stock, bond and other exchange traded funds in alignment with your risk comfort. The platforms will rebalance your account periodically to keep it in line with your initial preferences.

In other words, if you want investments that aren’t too volatile, you’ll opt for a conservative portfolio with more of your money allocated to bonds and less to stocks, and vice versa. Rebalancing means that they’ll sell investments that have increased in value above your desired percent allocation and buy more of those that don’t meet your preferences.

From newbies to experienced investors, you can get help creating and managing your investments, for free.

If you want more of your money to go into your investments and less to the fund manager then consider a free robo-advisor.

1. M1 Finance – Free Robo-Advisor

Minimum investment amount: $100

Free Features

M1 Finance free robo-advisor is unique in that you choose your investments from thousands of individual stocks and funds. You select the percent that you want invested in each one. Then, every time you add money to your account M1 Finance automatically invests it in the holdings of your choice and in the percentages that you chose. You can edit your investments, add or subtract, at any time.

If you’d prefer ready-made portfolios -M1 Finance calls them “pies” -of investments, there are many to choose from. Similar to other robo-advisors, you can select a pre-made investment portfolio according to your risk tolerance from conservative to aggressive. Here’s a sample of the pre-made M1 Finance investment portfolio categories:

  • General Investing
  • Plan For Retirement
  • Responsible Investing (Socially Conscious)
  • Income Portfolios
  • Hedge Fund Followers
  • Industries + Sectors
  • Just Stocks and Bonds

Go directly to the M1 Finance website

Read the M1 Finance Review

2. Schwab Intelligent Portfolios – Free Robo-Advisor

Minimum investment amount: $5,000

Free Features

The Schwab Intelligent Portfolios robo-advisor offering has a lot going for it. This free automated investment service begins with a few initial questions to determine your risk tolerance levels. Schwab creates your personalized investment mix by integrating your goals and risk comfort level. Using your responses to a brief questionnaire, the platform recommends a diversified investment portfolio, in accord with your preferred risk level. Aggressive investors will hold a greater percentage of stock exchange traded funds (ETFs) and conservative investors have a larger percent of bond funds.

Unlike M1 Finance, with access to thousands of investments, Schwab crafts your investment mix from a pool of approximately 30 diversified funds. This is certainly enough diversification for most investors. The Schwab Intelligent Portfolios robo-advisor also invests part of your money in cash. This helps stabilize the volatility and makes it easier to rebalance.

With Schwab’s large branch network, it’s easy to contact a representative for questions about the platform. Although for detailed advisory investment guidance, you’ll need to sign up for the paid plan, Schwab Intelligent Advisory.

Read the Schwab Intelligent Portfolios Review

3. WiseBanyan – Free Robo-Advisor With Paid Add Ons

Minimum investment amount: $1

Free Features

WiseBanyan is ideal for the newbie investor. With the one dollar minimum investment amount, you can get into the financial markets immediately and start building wealth for the future. WiseBanyan’s goal based approach encourages users to identify their financial goals or milestones, whether it’s retirement, saving for Jrs. college education or buying a jet ski. Next the app automates your financial journey with tailored and optimally diversified portfolios to achieve your financial goals. WiseBanyan automates everything from portfolio rebalancing, to dividend reinvestment and recurring deposits.

The Free robo-advisor version offers a specific number of funds. If you want access to additional funds, for three dollars per month the WiseBanyan premium Portfolio Plus offers 30+ customizable portfolios including tech, socially conscious, small cap, utilities, pot and more. You can also sign up for tax-loss harvesting for your taxable portfolio for a 0.25% management fee.

Go directly to the WiseBanyan Site

Read the WiseBanyan Review

4. Motif – Free Robo-Advisor Horizon Portfolios

Minimum investment amount: $300

Motif is a unique investment manager that allows investors to trade a basket of up to 30 stocks or ETFs. These motif’s reflect an investment theme, market insight or innovative trend. You can choose a professionally built motifs, customize, or design your own. Then buy your motif in just one click.

Bonus; 5 Lowest Fee Robo-Advisors >>>

Free Features

Motif offers 9 investment portfolios for free. These Horizon Motif Model Portfolios each hold 6 stock and bond ETFs and are structured from aggressive to conservative. Within these risk categories the Horizon motif’s are also focused on your time horizon from one to fifteen years. Each horizon model portfolio offers a yield of approximately 2.4%. And the good news is, Motif horizon portfolios are free.

All other Motif products carry low fees.

Go directly to the Motif Site

Read the Motif Review

5. Wealthsimple – First $15,000 Managed for Free

 Minimum investment amount: $0

Wealthsimple is an automated investment management robo-advisor platform, covering everything from portfolio allocation to automatic rebalancing, dividend reinvesting, SRI and Halal investing. Wealthsimple offers readers of Robo-Advisor Pros a special promotion to manage your first $15,000 invested with them, for free. Any investment funds above that amount will pay the standard 0.50% management fees.

Wealthsimple has a lot going for it; financial advisors, socially responsible investment portfolios and even Islamic investing options. The platform also provides a free portfolio review of your non-Wealthsimple financial accounts to evaluate fees and tax efficiency.

Go directly to the Wealthsimple Site and get the first $15,o00 managed for free – Robo-Advisor Pros promotion.

If you’re looking to simplify your life and build your wealth, check out one of these free robo-advisors.

Disclosure: Please note that this article may contain affiliate links which means that – at zero cost to you – I might earn a commission if you sign up or buy through the affiliate link. That said, I never recommend anything I don’t personally believe is valuable.

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Barbara A. Friedberg, MBA, MS

Barbara A. Friedberg, MBA, MS

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