>> It’s strange to me how people with such low assets
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The average size of a Robin Hood account is $4k. The average IRA is like $150k, but lets assume that most of the larger balances are held by people close to retirement age.
Wealthfront is new(ish) and technical. They probably have customers averaging less than 40 years old. People like that who have saved up $57k are likely to ultimately be much wealthier than the average American. If they won't need an advisor, who would?
> People like that who have saved up $57k are likely to ultimately be much wealthier than the average American. If they won't need an advisor, who would?
There are fixed costs to wealth management. Traditionally, someone with less than ~$250k wouldn't be worth bespoke advice; practically, that limit is closer to $1 to 3mm. Wealthfront uses technology to reduce service costs, thereby bringing some of the perks of that upper tier of advice to folks with less money. It would be reductive, however, to expand that service offering to the PWM/MFMs of the world.
Wealthfront is new(ish) and technical. They probably have customers averaging less than 40 years old. People like that who have saved up $57k are likely to ultimately be much wealthier than the average American. If they won't need an advisor, who would?