Moneysense’s Jason Heath writing about risk and robo-advisors…
I’ve been asking myself how robo-advisors clients will react when the next market crash will strike us. I like robo-advisors but I definitely think a lot of people wrongfully think robo-advisors are safe and not prone to market crash.
It’s not the robo-advisor or human advisor who decides how risky your investment is, its your risk profile ! Risky profile = Risky Investments whether they are managed, unmanaged with an advisor or with a robot.
The robo-advisor or the human advisor invest according to your risk profile.