From the course: Introduction to Fintech

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Investment management

Investment management

From the course: Introduction to Fintech

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Investment management

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- [Narrator] Next is investment management, which refers to the professional management of securities and other assets on behalf of clients, typically with a goal of achieving a specific investment objective. In the traditional investment management model, clients work with a human financial advisor to make investment decisions. Roboadvisors, on the other hand, are digital platforms that use algorithm and artificial intelligence To automate the investment management process, they provide automated investment management services to clients, including portfolio construction, asset allocation, and rebalancing without the need for human interaction. Roboadvisors typically use a risk questionnaire to determine a client's investment profile and then use that information to build and manage a diversified portfolio of low cost exchange traded funds called ETFs. Examples of these Roboadvisors include Betterment, Wealthfront, Robinhood, and Schwab Intelligent Portfolios.

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