Traditional in-person investment advice can be expensive. Robo-advisors offer a cheaper solution through automated portfolio rebalancing and investment opportunities. Robo-advisors are increasingly popular investment platforms that offer a cost-effective alternative to advisor-managed portfolios.
Investment managers and brokers have been using robo-advisors since the 1980s. But now, consumers can use these robo platforms directly, making investing more affordable and accessible for beginners.
Here are the best robo-advisors Business Insider’s personal finance editors picked in 2025.
Betterment offers individual or joint accounts, IRAs, trust accounts, and cash reserve or checking accounts.
$0 to open, $10 to start investing ($100,000 for premium plan)
$4 per month (or 0.25%/year) for digital plan; 0.40%/ year for premium plan; 1%/year for crypto portfolios and 0.15% per crypto trade
Betterment is best for hands-off investors who want to take advantage of professionally built, personalized ETF and cryptocurrency portfolios. The platform offers CFP access, so it could suit those in search of additional guidance from human advisors.
Betterment is our top pick for the best overall robo-advisor. It’s at the top of our list for being cost-effective, trustworthy, and offering a diverse selection of securities, including stock and bond ETFs.
Beginners can easily build a diversified investment portfolio tailored to their risk tolerance and financial goals. Strategies like socially responsible, high-growth, and tax-advantaged investing are readily available.
Users can unlock access to CFPs, but unlimited guidance is only available through the premium plan (which requires a $100,000 minimum).
Betterment protects users’ personal data and accounts through strong browser encryption, fraud monitoring, and biometric authentication. The platform’s dedicated customer support team is available 24/7 by phone, email, or virtual assistant.
Betterment has a rating of 4.8/5 on the Apple Store and 4.7/5 on Google Play.
Pros of Betterment
Cons of Betterment
Great for those who want to start investing with an account balance below $25,000 (Fidelity Go charges $0 for balances below this amount)
$0
0.35% for accounts with balances of $25,000 or more
Fidelity Go is one of the best robo-advisors for mutual funds. It’s best suited for hands-off investors looking for automated investment management with low fees, and it doesn’t require an account minimum to get started.
Fidelity Go is a highly-regarded robo-advisor offering cost-effective portfolios best for budget investors who prioritize low-cost investing strategies. Fidelity Go portfolios are personalized to your goals and financial situation.
Fidelity Go seamlessly integrates with other Fidelity accounts and has no minimum account requirement. For only $10, get free portfolio management for balances under $25,000. If your account balance exceeds $25,000, you may even be able to access guidance from human advisors for no extra cost.
One of the best parts about Fidelity Go is its low fees. The platform relies on mutual funds (Fidelity Flex mutual funds) that don’t contain expense ratios.
It provides users with an accessible, mobile trading experience with access to tax-efficient strategies, goal-based planning, and powerful trading tools and solutions.
Fidelity is one of the safest online brokerages, with top-notch security features and a long history of trustworthiness.
Fidelity has a rating of 4.8/5 on the Apple Store and 4.6/5 on Google Play.
Pros of Fidelity Go
Cons of Fidelity Go
Fund your first taxable investment account with at least $500 in the first 30 days of account opening and earn a $50 bonus.
$1 ($500 for automated investing)
$0 for stock trades. 0.25% for automated investing (0.06% to 0.13% for fund fees)
Wealthfront is one of the best robo-advisor options if you’re in search of low-cost automated portfolio management, and one of the best socially responsible investing apps for features like tax-loss harvesting, US direct indexing, and crypto trusts.
Wealthfront Investing is a pioneer in the robo-advisor space, similar to Betterment. It is the best robo-advisor for portfolio diversification as it offers a huge selection of investable securities.
Wealthfront has the largest automated investment selection, providing passive investors access to competitively priced ETFs, index funds, crypto trusts, portfolio lines of credit, and bond ETFs. It is also a stand-out option for socially responsible investing through its Blackrock ESG funds that track socially responsible indexes defined by MSCI.
If you have at least $100,000 to invest, you can access Wealthfront’s US direct indexing and risk parity investing strategies. Direct indexing allows you to harvest losses on individual stocks to reduce your overall tax liability.
Additional features of Wealthfront include tax-loss harvesting, smart beta investing (which pairs with US Direct Indexing to outperform an existing market index through tax efficiency, enhanced diversification, and reduced risk), and risk parity portfolios.
If you’re interested in adding cryptocurrencies to your asset allocation, Wealthfront mitigates portfolio risk by only allowing a 10% allocation for crypto trusts.
Wealthfront also offers an automated high-yield bond portfolio in which hands-off traders can get a customized low-cost bond ETF portfolio. Wealthfront Automated Bond Portfolio pays a 4.85% yield, which is even higher than Wealthfront’s cash account, which pays 4.00% APY.
Wealthfront has a rating of 4.8/5 on the Apple Store and 4.8/5 on Google Play.
Pros of Wealthfront
Cons of Wealthfront
Earn a $20 bonus when you open a new account and make your first successful recurring investment (min $5). Receive your bonus within 10 days of following month
$5
Monthly plans start at $3 for Bronze, $6 for Silver, and $12 for Gold
Acorns is one of the best investment apps for beginners and hand-off investors who want to start investing but are overwhelmed by the choices with other investing apps. This simple and easy-to-use platform offers a low investment minimum, portfolio diversification, and beginner-friendly charting tools. Acorns is more expensive than other zero-fee apps out there, but the ease of use may make it worthwhile for certain users.
If you are new to investing and prefer to manage your investments on your mobile device, Acorns is a standout investment app designed for investors with little to no trading experience. Although its investment selection and trading tools are limited, it is a great choice for those who lack the ability or willingness to invest large sums of money from the get-go.
You can start investing with only $5 and set recurring contributions to build your portfolio slowly over the long term. The Acorns Round-Ups feature can automatically invest spare change from your transactions when you link your credit or debit card to your Acorns brokerage account.
You can open an individual brokerage, IRA (Acorns Later), custodial account (Acorns Early Invest), and emergency fund all under one login. However, access to certain accounts, investment strategies, and reward-earning opportunities is limited by membership tier.
You must be an Acorns Gold member to access Acorns Early accounts, hand-picked stocks and ETFs, and a 3% match on IRA contributions (1% match with Silver membership). A Gold membership costs $12 a month.
Acorns is not the best option for more experienced traders, active traders, or those wanting greater investment opportunities beyond stocks and ETFs.
Acorns has a rating of 4.7/5 on the Apple Store and 4.7/5 on Google Play.
Pros of Acorns
Cons of Acorns
SoFi Automated Investing supports individual investment accounts, joint accounts, traditional IRAs, Roth IRAs, SEP IRAs, and 401(k) rollovers.
$0
0.25% annual advisory fee
SoFi Invest is one of the best investment apps and the best investment apps for beginners. It’s a great platform for US investors who are looking for an intuitive online trading experience or an open active or automated investing account.
If you’re looking for affordable guidance from financial planners, SoFi Robo Investing is the way to go. SoFi’s low-cost automated trading platform offers several perks: It has a $0 account minimum, doesn’t charge any fees, and provides CFP access with SoFi Plus membership.
Like several other investment platforms mentioned in this list, SoFi allows you to also invest on your own, thanks to SoFi’s active investing accounts.
As a streamlined and robust robo-advisor, SoFi invests your funds into a diversified mix of ETFs eligible for automatic portfolio rebalancing and goal-planning tools.
SoFi’s support multiple accounts, including individual and joint accounts, traditional IRAs, Roth IRAs, SEP IRAs, and 401(k) rollovers.
SoFi Invest has a rating of 4.8/5 on the Apple Store and 3.9/5 on Google Play.
Pros of SoFi
Cons of SoFi
The brokerage provides three free trading platforms: Power E*TRADE, E*TRADE Web, and E*TRADE Pro.
$0 ($500 Core Portfolios)
0% (0.30% Core Portfolios)
E*TRADE is a great fit for frequent traders interested in low-cost stock, ETF, and options trading. The brokerage also offers a robust mobile app for Apple and Android devices, and it supports less active investors through its managed and automated portfolio offerings.
E*TRADE Core Portfolios is E*TRADE’s robo-advisor, requiring a $500 minimum and a 0.30% annual fee. E*TRADE is our top pick for knowledge seekers as it offers an extensive and detailed library of educational content for investors to learn and grow from.
With E*TRADE’s Knowledge, investors get access to expert commentary, informational articles, weekly market recaps, and educational webinars, which are viable for beginners, advanced traders, or those interested in becoming more knowledgeable on personal finance topics like retirement planning, tax planning, and insurance.
You can access tax minimization strategies, top-notch security, and robust investment options (e.g., automating individual and joint accounts, custodial accounts, and IRAs).
E*TRADE’s automated investing mobile app allows commission-free trading of stocks, ETFs, mutual funds, and options. The app lets users manage their money, transfer cash, deposit checks, and pay bills.
The robo-advisor also includes Bloomberg TV, which gives investors third-party research and news updates.
E*TRADE has a rating of 4.7/5 on the Apple Store and 4.7/5 on Google Play.
Pros of E*TRADE
Cons of E*TRADE
Vanguard Digital Advisor offers a range of wealth-building products, including self-directed brokerage, retirement, automated accounts, SEP & SIMPLE IRAs, Trusts, and Vanguard-record-kept 401k plans
$100
0.11% – 0.20%
Vanguard Digital Advisor is one of the best robo-advisors and one of the best retirement plans for passive investors looking for personalized, automated investment portfolios. It now offers an automated tax-loss harvesting feature.
Vanguard Digital Advisor is the best robo-advisor for retirement savers. Digital Advisor is one of two automated investing accounts Vanguard provides (the Vanguard Personal Advisor Services account is the other option).
You can build your retirement savings with a Vanguard IRA (traditional, Roth, rollover, SEP, and inherited) and invest in one of the portfolio mixes: all-index, active/index, or ETFs.
Vanguard Digital Advisor is a stand-out option for retirement planning because of its financial planning resources, low fees, and tax-efficient funds and rebalancing tools. Additionally, investors can access detailed educational guides on topics like:
Vanguard is renowned for its first-rate customer service and user experience. It requires a $100 minimum balance and has some of the lowest expense ratios in the industry (ranging from 0.03 to 0.46%)
This robo-advisor mainly allocates your assets across four Vanguard ETFs for easy portfolio diversification and tax-efficient investing. These include the Vanguard Total Stock Market ETF, Vanguard Total International Stock ETF, Vanguard Total Bond Market ETF, and Vanguard Total International Bond ETF.
Vanguard has a rating of 4.7/5 on the Apple Store and 3.5/5 on Google Play.
Pros of Vanguard
Cons of Vanguard
Robo-advisor technology has revolutionized investing, making financial guidance more accessible than ever. Essentially, robo-advisors are automated brokerage accounts that create and manage investment portfolios on behalf of users. Some robo-advisors use more advanced AI to personalize investment strategies, but that is not always the case. Consumer-facing robo-advisors have been around for about 15 years, well before the current AI boom.
One of the main selling points for robo-advisors is that they’re automated, so you don’t have to think about that investment actively. However, if you’re looking to choose certain shares, you may be disappointed with the level of freedom a robo-advisor will give you.
Although robo-advice isn’t as personalized as advice from human advisors, the average retail investor can now access fundamental investing strategies and knowledge without burning a hole in their wallet.
However, trust in these automated portfolios differs across generations. According to a MagnifyMoney survey, millennials and Gen Z investors are far more likely to trust robo-advisors than Boomers and Gen X.
Robo-advisors use algorithms and questionnaires to determine which personalized investment strategies makes the most sense. While some platforms will only ask basic questions, others will pose a more detailed range of queries to better identify the client’s specific financial needs and provide regulated advice.
“An investor typically provides information about his or her risk tolerance, time horizon, and investing goals, and based upon that information, a portfolio is recommended, usually comprised of low-cost ETFs, that are managed and rebalanced as needed,” says Keith Denerstein, a broker at J.P. Morgan.
Robo-advisors are typically created by professional financial advisors who implement long-term growth earnings and risk-adjusted strategies into the algorithms.
Automated platforms manage portfolios by keeping each asset (usually stock and bond ETFs) within a certain percentage range.
For example, let’s say that your robo-advisor has allocated 20% of your portfolio toward the Vanguard S&P 500 ETF. The robo-advisor will give it a little wiggle room, such as plus or minus 5%. If the Vanguard allocation drops below 15% or exceeds 25%, it will rebalance your portfolio.
The first robo-advisors are generally considered to have started around 2008, and in 2010, Betterment Investing and Wealthfront Investing launched the first robo-advisors available to the general public.
Since then, robo-advisors have continued to grow in popularity among investing novices and passive investors. And as the technology evolves, so does the terminology.
“Over the past few years, the ‘catch-all’ term ‘robo-advisor’ has become increasingly obsolete, with firms preferring more specific terms such as Digital Wealth Service, Automated Advice, Hybrid Advisor or even Bionic Advisor to describe better what they actually do,” says Simon Bussy, consulting director at Behavior Consulting Limited.
Today, robo-advisors fall into two basic categories: those that are exclusively online — like Acorns — and those offered by brick-and-mortar brokerages and financial service firms, like Charles Schwab automated investing.
Traditional firms tend to cater to investors with a bit more capital, often requiring higher minimum deposits and charging higher fees — but also sometimes providing additional services, like access to live support from financial professionals.
Robo-advisors come with various helpful features and services that help beginners and passive investors make informed investment decisions without being overwhelmed.
Some of the best services and features of robo-advisors include:
Robo-advisors commonly offer top-level security features that match industry standards. These features include encryption technology, third-party testing, risk disclosures, and vetted investments.
Robo-advisors generally cost less than human financial advisors and investment managers. For example, automated investing apps charge roughly 0.25-0.50% of investment portfolios annually. Traditional wealth managers typically charge around 1% of assets under management (AUM).
“The typical retail investor using a robo-advisor can potentially benefit from professional portfolio management at a cost far lower than that traditionally charged by a live advisor,” says Denerstein.
Other benefits of automated investment advice include lower account minimums than traditional brokerages and investment managers. For example, Vanguard has a minimum for its robo-advisor service, while some financial advisors have minimums that are several thousands of dollars, if not hundreds of thousands.
Because they do all the choosing and investing, robo-advisor platforms don’t require much from investors. You don’t need specialized knowledge of stock markets, P/E ratios, balance sheets, or anything else. While a financial advisor could provide similar help, a robo-advisor is often more beginner-friendly by nature of the lower minimums and automated nature.
Robo-advisors mainly invest in inexpensive ETFs to keep costs low. However, most services don’t let users select which funds are included in their portfolios beyond general guidance, like selecting ESG-oriented funds. Nor do they typically invest in individual stocks, bonds, or alternate investments.
That said, some online brokerages, like Acorns Invest, have started to offer DIY investing by letting some users choose individual stocks and gain exposure to cryptocurrencies.
Robo-advisors apply general criteria when recommending portfolios. They often shoehorn customers into one of their preexisting model portfolios (i.e., growth, income, growth + income) based on the basic risk tolerance, income profile, and rudimentary investment goals indicated in your questionnaire.
“That’s why human wealth managers and financial planners argue that ‘robos’ cannot replace them — they are not sophisticated enough to understand the whole picture or provide fully-rounded advice,” says Bussy.
Robo-advisors usually don’t provide clients with a direct line to any human help. The customer service reps, if any, are mainly there for logistical questions or platform errors.
That said, investing through a robo-advisor doesn’t prevent you from seeking financial consultation from another brokerage or broker firm. But you will have to pay the additional cost for this service.
Whether you’re opening your first brokerage account, funding your retirement, or saving toward a larger goal, there’s often a robo-advisor suitable for your needs. But you’ll need to do your homework first to find the best automated investing platform for your situation.
Choosing the best robo-advisor platform for you depends:
Make sure to review platforms with a critical eye and consider the full costs of robo-advisors before opening an account. Also, while robo-advisors are generally geared toward beginners, some platforms have more advanced features better suited for experienced investors.
Automated investing isn’t for everyone, especially folks wanting a more personal touch or customized approach.
We interviewed the following investing experts to see what they had to say about the best robo-advisors.
What are the advantages/disadvantages of investing through a robo-advisor?
Sandra Cho:
“Advantages include:
“Disadvantages of using a robo-advisor
Tessa Campbell:
“Robo-advisors do the hard, time-consuming part of investing for you. Once you set your goals, risk tolerance, and time horizon, a robo-advisor can create a customized investment portfolio based on those characteristics. This makes these platforms accessible to beginners and ideal for passive investors.
“Robo-advisors also tend to be the better option for folks wanting low-cost investing as most robo-advisors mainly trade ETFs.
“However, robo-advisors can be limiting. You won’t get the same level of control or influence over your assets as you would with self-directed investing or a professionally managed platform. If you want to pick and choose how you invest your money, then a robo-advisor isn’t the best option for you.”
Who should consider opening a robo-advisor?
Sandra Cho:
“Someone who is a DIY investor and is tech-savvy enough to use the software involved. Larger groups of people need to be processed faster, such as participants in a 401(k) or other retirement plan.
“Investors who have smaller amounts of assets might not have the need for sophisticated financial planning.”
Tessa Campbell:
“Robo-advisors are best for beginners and passive investors who don’t want to be glued to their computers, watching the ups and downs of the market and trying to decide when is the best time to buy and sell.
“It’s also the better option for cost-conscious investors. With a robo-advisor, you can easily and affordably get exposure to different sectors of the market with low-cost ETFs. This way, you’re paying the price of individual stocks.”
Is there any advice you’d offer someone who’s considering opening a robo-advisor?
Sandra Cho:
“1) Treat it like a starting point, not the endpoint.
2) Find a good one. Not all robo-advisors are the same. Like financial advisors, there are good and bad ones.
3) Be aware of the investments you have, and do not have, through the robo-advisor you use. For example, if you are using a robo-advisor at a particular investment company, that robo-advisor will likely limit their recommendation to the mutual funds or other investments of only that company.”
Tessa Campbell:
“Make sure to compare all the robo-advisor options before opening an account. Not all robo-advisor provide the same investment options, account types, or features. And while many robo-advisors have low-trading fees and account minimums, not all of them do, so make sure you know what you’re getting into before opening a brokerage account with an automated investment platform.
“On a different note, make sure that you still frequently monitor your investment portfolio. Although you won’t do much on the day-to-day, it’s important to update your portfolio based on your current goals, financial situation, and market performance.”
Business Insider’s methodology for rating investment platforms was used to analyze and compare dozens of robo-advisor platforms. The best robo-advisor platforms feature some of the lowest fees, multiple portfolio types, human advisor access, and excellent customer service.
We also favored platforms that offered a range of other features and products, such as tax-loss harvesting and flexible account types. Investment platforms are rated between 1 and 5.
Acorns is the best robo-advisor for beginners because of its ease of use, low-cost trades, and beginner-friendly tools and resources. Other beginner-friendly robo-advisors are SoFi Invest, Fidelity Go, and E*TRADE.
Fidelity Go is the best robo-advisor for budget investors who prioritize low-cost trading and account management. Fidelity Go offers cost-effective portfolios of Fidelity Flex mutual funds. Other top robo-advisors for low-cost trading are SoFi, Betterment, and Acorns.
Yes. The use of robo-advisors for retirement planning is common. Many robo-advisors offer retirement accounts, such as traditional and Roth IRAs, with automated portfolio management and rebalancing features. Robo-advisors allocate retirement portfolios based on age and risk tolerance to help you build long-term wealth while mitigating risk.
Most robo-advisors will allow you to withdraw money at any time without penalty, but make sure to review the terms and conditions of the specific robo-advisors you’re using to ensure there are no special fees or restrictions on withdrawals. Moreover, certain account types, such as for retirement, have age restrictions designed to prevent you from withdrawing early, but that is based on IRS rules, not the robo-advisor’s rules.
Robo-advisors are secure investment platforms equipped with advanced security measures to protect users’ personal and financial information. Security features include data encryption software, account activity monitoring, and two-factor authentication. Robo-advisors also must follow SEC or relevant state regulations.
Sofi Active Invest: Investments are not FDIC-insured – Are not bank-guaranteed – May lose value – Brokerage and Active investing products offered through SoFi Securities LLC, member FINRA(www.finra.org)/SIPC(www.sipc.org).
Must be a SoFi Plus member at the time a recurring deposit is received into your SoFi Active or Automated investing account to qualify. Bonus calculated on net monthly recurring deposits made via ACH and paid out as Rewards Points. See Rewards Terms of Service. SoFi reserves the right to change or terminate this promotion at any time without notice. See terms and limitations. https://www.sofi.com/sofiplus/invest/#disclaimers.
SoFi Plus members can schedule an unlimited number of appointments with a financial planner during periods in which the SoFi Plus member meets the eligibility criteria set forth in section 10(a) of the SoFi Plus Terms and Conditions. SoFi members who are not members of SoFi Plus can schedule one (1) appointment with a financial planner. The ability to schedule appointments is subject to financial planner availability. SoFi reserves the right to change or terminate this benefit at any time with or without notice. Advisory services are offered by SoFi Wealth LLC, an SEC-registered investment adviser. Information about SoFi Wealth’s advisory operations, services, and fees is set forth in SoFi Wealth’s current Form ADV Part 2 (Brochure), a copy of which is available upon request and at www.adviserinfo.sec.gov.
Customer must fund their Active Invest account with at least $50 within 30 days of opening the account. Probability of customer receiving $1,000 is 0.028%. See full terms and conditions. https://www.sofi.com/invest/clawpromotion/rules.
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