The Robo Investor

Are you looking for a suitable cryptocurrency exchange platform that allows copy-trading?

Or are you a successful trader who wants to earn a bit extra by sharing your strategy with the rest of the crypto community?

Welcome to the future. Welcome to Iconomi.

In this Iconomi Review I will navigate you through the intricate details of the still new platform.

I will walk you through my experience, how to choose the best strategy, pros, cons, alternatives, sign up and much more. 

Use the following table of contents to immediately find what you are looking for.

(Disclaimer: The trading of cryptocurrencies has potential rewards, and it also has potential risks involved. Trading may not be suitable for all people. Anyone wishing to invest should seek his or her own independent financial or professional advice.)

What is Iconomi?

Iconomi is a copy trading platform, similar to eToro, but only for cryptocurrencies. 

You fund your account and then pick one of the many strategies the platform offers. Simply put, you are letting someone else take care of your investments by copying their strategy.

Alternatively, you can also create your own strategy and, if successful, you can charge others to copy your strategy. 

Crypto Strategies

Copy Someone Else’s or Create Your Own

Iconomi offers experienced strategists to make a collection of crypto assets which they can share with other strategies to copy or investors to adopt.

A strategist is a person who does all the market search and thinking to make the best strategy. They have their own share in the strategy, and so they make any necessary modifications and amendments needed to make the strategy succeed.

Investors who are new to the crypto world or simply do not have the time to run the lengths of market surveys to choose a strategy can copy a strategy from a fund manager.

1. Copy Someone Else’s Strategy

…and how I pick the best strategy to copy

An investor can copy a strategy with their own assets and automatically copy the same changes their strategist makes. Copying a strategy requires a fee. The amount is decided by the strategist.

The copying fee can be changed twice a year. It is increased or decreased as per the choice of strategists.

The copying investors get notified a month prior to the increase of fee in order to allow them some time to reevaluate their strategy or withdraw from it.

So here it goes:

Sign up was pretty easy and straight forward. I then immediately transferred money to try out some of the strategies.

When you first click on the strategies section you will see something like this:

You will see some of the top performers of the past 24 hours.

I guess they are featured so new investors can get some exposure however when picking a strategy to earn serious money, a 24 hour window does not seem to be the most helpful metric.

So after some scrolling and clicking I finally find something more useful: The top performers within a one-year span. Voila:

Now this is much better.

It is pretty insane what kind of returns some of these investors / teams of investors were able to generate within the past year. The top strategy “Pina Criptohold” for example, was able to generate almost 4000% in returns within only 1 year. (turn $1000 into $400.000) (!)

I could just go ahead and copy the best performers strategy but there are a couple of more things to consider when it comes to making a decision, such as

• Copy Fee: Decided by strategist. I have seen copy fees anywhere from 0% to 5%.
• Performance Fee: This is usually the biggest one. From my experience, a “normal” performance fee is around 5% but there are also some very successful strategists who charge up to 25%. But note that the performance fee is only charged when copiers make a profit.
• Exit Costs: So far I have only seen 0.5% to exit. This is merely to cover the trading costs. The strategists or Iconomi don’t make any money when you want to take home some earnings.

• Volatility: Most of crypto investing is a lot higher in volatility than traditional assets. The strategy above for example has a volatility of 8.42% (how much the price has moved up or down over the past year).
• Maximum Drawdown: Even though the above strategy has had an impressive 591.78% return over the past year, there was also a moment when the strategy went down a total of over 80%. Be prepared for that!
• Tenure: This is one of the big cons for Iconomi in general. It is still new and even the more experienced strategists have only been around for a year. Make sure to check how long a strategy has been around for before making your choice!
• Trust: How many other investors trust these strategies? Luckily you can see the number of people who trust a strategy and also how much money the strategy manages. So maybe there is a strategy with an extraordinarily high return however very few people are copying the strategy. That may be because the strategy is very volatile or has not been around for very long.
• Investing style: If you only take about returns, then fair enough, this may not concern you. However maybe you prefer to trust your investments with someone who believes in fundamentals, or someone who is more into chart analysis as opposed to reacting to broader macro events. This is completely up to you but when I made my choice I also made sure that my interests and the interests of the strategists were aligned.

2. Create Your Own Strategy

Creating your own crypto strategy takes place in a matter of seconds. After signing up your Iconomi account, you can go to “My Crypto Strategies” and proceed to follow the simple instructions. Here is a simple outline of the procedure:

1. Make sure to make up a distinct name for your strategy and ticker. A ticker is a part of your strategy’s direct URL and cannot be changed afterward.
2. The next step is to simply select the cryptocurrencies you prefer and their weightage by percent.
3. To make your strategy go live, you need to make your first buy-in or your first investment, no matter how little it is (minimum €100). By doing so, your strategy goes live. You can also make any changes to your strategy any time you wish.
4. If you wish to earn extra money, you can set a “performance” or copying fee. This way, a copier pays a fixed annual fee.
5. Now all you have to do is invite your contacts to copy your strategy.

3. Referral Program

How Does it Work?

The referral program of Iconomi works the same as any other app; you bring users and get paid. Iconomi offers a long-term referral program through which you collect a small amount of money with each referral you bring to it. Each month you will be paid your collected referral amount collectively.

You would not only earn when someone creates an Iconomi account through your referral link but also gain money whenever they copy a crypto strategy or add funds to it. You can invite friends by sharing your referral link or code, by sending email-based invites, or by sending out gift cards, and this reward time period of referrals lasts for two years.

Sign Up

Signing up is an easy process that can be done even on your smartphone. Here is an outline of instructions you need to follow to sign up for your Iconomi account.

Account Opening

To create an Iconomi account, go to the official Iconomi website and click on the “Get Started” button.

You will need to enter a secure email ID to which a verification email is to be sent. Next, select a suitable password that is moderately difficult and complete the verification process by clicking on the “Upgrade” button. You will need to provide your particulars, such as country of residence, ID, or passport.

Moreover you are required to add the scanned pictures of your documents and face for identification. For these reasons, a mobile phone with a camera is recommended to scan and upload the documents on the spot without any wastage of time.

Deposit and Withdrawal

Deposits and withdrawal with Iconomi is pretty straightforward. You will be given two options, i.e., money transfer or crypto transfer.

1. Money Transfer

To deposit money to your Iconomi account, simply log onto your account and click on the “Money Transfer” option. Make sure to use the bank account having your particulars that match the ones you provided to Iconomi; otherwise, your deposit will be rejected. When depositing, do remember your “Reference Code” because you will be needing it later during the deposit process.

To withdraw money, click on the withdraw option. Just add your bank account along with the amount you wish to withdraw. Always make sure to check your details again. The money transfer process takes about 1-3 working days to be completed on average.

2. Crypto Transfer

To deposit crypto, click on the “Crypto Transfer” option. You will be presented a list of assets from which you can select the assets you wish to deposit.

Similarly, to withdraw assets, go for the withdraw option. However, keep in mind that you can not withdraw assets from a strategy. In order to withdraw assets from a strategy, you will need to end the strategy.

Interface

Iconomi has the specialty of simplifying things to provide a straightforward and satisfactory experience to its users.

It has a simple interface having the benefit of trading, storing, and exchanging cryptocurrencies, as well as making complicated orders, all under one platform.

Trading Options

Trading is the far most convenient option for newbies or the people having packed schedules and zero time, and so Iconomi has a far ending range of trading options.

Costs

When dealing with crypto, there are many costs and charges that you need to be well aware of before investing your time and money. Let’s have a look at different fees and costs that you may come across while working on Iconomi.

Iconomi Fees

On Iconomi, the official fees are explained beforehand, such as copying fee, performance fee, and adjusting the strategy fee. The copying fee is already explained in detail above.

Performance Fee is the fee charged from the investors when their copied strategy shoots up, succeeds, and gains profit. This fee is paid to the strategists for their hard work and critical thinking and is also determined by them.

It is charged according to the number of initial investments of the copiers, and its collection schedule is designed by the strategist, which can be weekly, monthly or quarterly.

However, the investors are not charged this fee only in case of downward fluctuation, and the crypto strategy fails to perform well.

Performance fee directly benefits the strategists and motivates them to design more strategies as well as encourages potential analytics and strategists to enter and work on Iconomi.

Similarly the interface is very clear and transparent. The fees are designed in a way so the investors only pay when their investments make a profit.

Transaction Fee is another additional cost associated with each transaction that you make. This fee does not profit Iconomi; rather, it goes to the cryptocurrency miners that work for the accurate security of the network as well as direct your transaction to the blockchain network.

Different Plans

Other plans also include their own fees, which are fair and justifiable, such as Rebalancing or Adjusting Fees. It is also called “changing the crypto strategy structure fees’ ‘ referring to the fees paid by the copiers in case they decide to adjust or modify their strategy.

However, this fee is not charged by the Strategists themselves, and changing a strategy does not directly cost any charges. The Rebalancing fees are actually the trading fees required due to the change or trade of different cryptocurrencies.

Hidden Fees?

In the case of buying and selling cryptocurrency, Iconomi costs a fee called “Spread,” which is not mentioned along with the exchange rate. The spread is a small amount in addition to the original exchange fees due to the fluctuation in the market.

In addition to that, there is also a fee associated with the addition of funds into a strategy in case they are not Ethereum or Bitcoin. The Iconomi needs to make and exchange itself in such a situation, and of course, these exchange fees have to be paid.

Additional Features

Iconomi has set its goals to link the economy of the past with that of the future, enabling both new and seasoned investors to shoot their shot at big investments without going neck-deep into dozens of blockchain projects.

Human Advisors

To provide a safe and wonderful user experience, Iconomi has many professional and accredited advisors enabling heaps of different people to invest in Iconomi’s projects and cryptocurrencies.

Customer Service

Iconomi has excellent customer service having a detailed offline help center as well, which provides intricate guidelines to even the simplest of operations such as signing up.

Furthermore it explains in-depth the complexities of the system to make the experience better suited for beginners to professionals, thereby promoting inclusivity which is the motto of Iconomi.

Pros and Cons

Before opting for a serious investment, it is always wise to weigh its pros and cons. So here are some pros and cons of Iconomi to help you decide whether it is the one suitable for you or not.

Pros

The biggest pro of Iconomi is its user-friendly interface and inclusive environment free of undesired complexities. It allows and welcomes potential investors open handedly into the crypto industry, irrespective of their extent of crypto knowledge.

Its DAA foundation works the best for the less aware people and the ones who are always on the go, as it automatically picks up the coins having the highest chance to succeed. Moreover it also benefits crypto experts and masterminds along the way and serves as an excellent source of passive income for them.

However, the fact that makes Iconomi stand out from the pack is the strong and well-guarded safety that makes it a reliable and stress-free choice.

Cons

It takes a while until you get a good sense of how everything works out with the fees.

Furthermore, the platform is still new. (started in 2018) Therefore it is still too early to call it a success.

FAQs

Is Iconomi worth it?

A simple answer, Yes. Iconomi is one of the first platforms to introduce non-accredited users and make crypto dealing easy and convenient for them. It provided expert and trusted strategists to deal with the fluctuating world of cryptocurrencies, therefore, promising a bright future ahead.

Is Iconomi a scam or legit?

Iconomi is one of the first platforms to introduce and efficiently execute the concept of DAAs and has been successfully gaining tons of appreciation from all over the world. It is totally authentic and legit in terms of security, as well as offering a wide variety of excellent strategies that benefit investors and strategists alike.

Where to buy Iconomi?

Buying the ICN token is currently impossible.  The ICN token, moved to a more traditional legal structure and has therefore eliminated ICN in favor of tokenized company shares.

What is ICN crypto?

ICN crypto or Iconomi is a digital asset management platform that allows users to exchange cryptocurrencies as well as invest in different strategies made by themselves or copied from strategists. The foundational principle of ICN is one of DAAs which has been discussed extensively in this article.

How much money can you earn with Iconomi?

Like other investments, there is always a risk. The extreme highs and lows of crypto are more beneficial than any other investment, and Iconomi is dedicated to making it efficient and convenient for you. For example, unlike a US stock exchange, you can make up to 20 percent of your investment with Iconomi.

Are there any promotions when signing up with Iconomi?

Iconomi does not have any promotions specifically while signing up. However, if you are a potential crypto specialist and have a decent amount of folks in your crypto circle, then you can surely benefit from your skills by monetizing your strategies.

By doing so, you would not only be able to profit from your coins’ success but you will also be given copying and performance fees by the investors copying your strategy. In addition to that, you will also get Influencer Rewards if you promote your knowledge to the mass public through other platforms as well.

How safe is Iconomi?

Iconomi is a totally safe platform to keep your assets secure due to its multi-story authentication process. A part of your fees goes to strong security organizations protecting your assets as well as providing safe transactions. If you wish to transfer your assets, you will need access and authentication from many organizations ensuring a secure transfer.

How does Iconomi make money?

Iconomi charges a percentage of the fees. They offers different levels of investments to its investors ranging from very low-risk ones to high-risk ones.

It allows the users to invest in a variety of assets and strategies as well as benefits the strategists. The potential strategists are ranked high up, and people copying their strategies usually get profit for sure.

Alternatives

Iconomi Vs. Gate.io:

Although Gate.io is considered to be on the top 10 crypto platforms, it is still not suitable for beginners. The operational team is somehow not transparent, making it ideal for heavily seasoned crypto professionals only. On the contrary, Iconomi serves to be a secure and suitable platform for beginners and professionals alike.

Iconomi Vs. Coinmatics

Coinmatics is an excellent alternative to Iconomi as it works more or less on the same scheme. It provides a large range of info about the crypto world from many different sources, making it popular among the newbies as well. It is equally secure and works on many operating systems, including mobile phones as well.

Iconomi Vs. Etoro

eToro is another famous option; however, its cons sometimes outweigh its pros. On the good side, it offers social trading and free stock and ETF trading.

However, it costs a lot of charges in the form of an inactivity fee and withdrawal fee. The customer support is consistently reported to be difficult to reach, and it is not registered on the stock exchange. Iconomi, on the other hand, has a fair and transparent procedure of investment along with accessible customer support.

Iconomi Vs. 3commas.io

3commas.io is a bot-based crypto trading platform with the intelligent and fast-paced brains of bots working 24 hours around the clock. It is another wonderful platform for beginners to benefit from the endless knowledge and expertise of bots at the same time allowing you to customize your trade.

Iconomi Vs. Shrimpy

Shrimpy is another top-tier crypto platform offering various features and trading tools. It also offers bot support which is accessible to everyone, as well as highly secured transactions.

However, on the downside, it does not have crypto signals and is not available for use on mobiles and so you need to have access to a laptop or PC system.

Iconomi Vs. Primex bt

Primex Bt is pretty famous in the crypto world, and many prefer it due to its many features such as copy trading, low trading fee, and leverage. Like Iconomi, it also offers referral programs to benefit its users in other ways as well.

However, unlike Iconomi, it does not offer a demo account to help beginners. There is no license for many countries including the US, Canada, and Japan, so a wide community cannot benefit from it.

About DDA’s

(The complicated version)

Iconomi is specifically curated to accommodate and benefit the people having multiple digital asset tokens, and so its prime focus lies on Digital Asset Arrays, aka DAA.

DAA allows the users having minimal crypto knowledge to manage funds with ease as the users would not have to run through a search for the best individual coin to invest in, rather they invest in Iconomi, which itself selects the safest coins having the highest chance to shoot forward.

DAAs are a combo of different types of digital assets, and so the users can choose and invest as per their will. It serves as an excellent platform to connect DAA managers and investors.

The managers can customize their own investment strategy and can even make it visible to the public to benefit from it. DAA managers can gain popularity through wise decision making which in turn spikes up their rating. Such managers gain access to more investors.

On the contrary, all the different strategies and many safe investment plans by the managers serve to spoon-feed the investors. This allows the beginner and experienced investors alike to invest without thinking and prodding.

Is Iconomi Worth It or A Scam?

Profiting from its vast experience, Icomomi is an exceptionally innovative and inclusive platform that serves to link the past to the future.

Furthermore it is welcoming many people in the crypto industry and therefore improving its reputation and increasing its pool. It is safe and claims good profits so far. (2022)

Summary

The Crypto world is rapidly overcoming the atmosphere leaving many people curious. You can access it through many platforms, among which a well reputed and eminent one is Iconomi.

However, the downside associated with cryptocurrency is its rapid fluctuation, and thus it is crucial to opt for a suitable platform that keeps your investment safe and sound, along with briefing you about the highs and lows of crypto.

Many investors have been head over heels for Iconomi, and many are investing consistently in it, including myself.

So far I have used the platform for a little more than a month. I have invested in 5 different strategies and only only one of them did not have positive returns so I am very happy with my results so far.

From my experience, I can certainly recommend Iconomi.

If you’re looking to build a diversified portfolio yourself, but want low fees, and a bit of advice along the way, look no further than MarketRiders.

The do-it-yourself platform works with any brokerage account. MarketRiders works as a digital advisor – advising you on the best way to manage your portfolio.

If you decide you don’t want to manage your own portfolio, MarketRiders also offers a managed service. It’s a bit more expensive than other robo-advisors, but it offers a great service.

Below I review both MarketRiders options for you to see which one (if any) would work for you.

What is MarketRiders?

MarketRiders is a digital advisor. They don’t manage your portfolio, like traditional robo-advisors.

Instead, they customize a portfolio after assessing your goals and risk tolerance. They suggest a portfolio of ETFs based on how much you need to earn and in what amount of time.

You take the advice provided and create a portfolio at your chosen broker. You don’t create the account at MarketRiders – they just provide the digital advice; they don’t hold your funds.

You can manage up to 10 portfolios at a time with the DIY portfolio. MarketRiders also offers a managed service, where they manage your portfolio for you. With the managed account, MarketRiders (and its subsidiaries) manage your account and hold your funds. It’s less of a DIY platform and more of an automated system.

Investors may choose how they want to handle their investments. The DIY version is great for those looking to branch out on their own. MarketRiders offers a bit of ‘hand-holding’ while providing you with the freedom to manage your own investments. It’s like knowing someone has your back.

The managed version is more of a traditional robo-advisor. You answer the same questions, but with the managed version MarketRiders handles your portfolio for you, choosing the investments and reallocating your portfolio as needed.

DIY Investing

Account Minimum

$1,000

Management Fee

$14.95 per month or $149.95 a year

Portfolio

DIY or 20 ETFs selected according to your goals

Rebalancing

Tax Loss Harvesting

Fractional Shares

Automatic Deposits

Smart Beta

SRI

401(k) Assistance

Human Advice

Supported Accounts

Individual, Joint,Traditional and Roth IRA, Rollover IRA, Trusts

Best for

DIYers, Investors who want to be in charge of their portfolios. Perfect for the advanced.

Summary

MarketRiders is an established and trusted company. It is great for DIY investing however if you are just starting out and prefer more of a hands-off approach you will probably better off with a different robo advisor.

Visit Website

Read Review

DIY Investing

Account Minimum

$1,000

Management Fee

$14.95 per month or $149.95 a year

Portfolio

DIY or 20 ETFs selected according to your goals

Rebalancing

Tax Loss Harvesting

Fractional Shares

Automatic Deposits

Smart Beta

SRI

401(k) Assistance

Human Advice

Supported Accounts

Individual, Joint,Traditional and Roth IRA, Rollover IRA, Trusts

Best for

DIYers, Investors who want to be in charge of their portfolios. Perfect for the advanced.

Summary

MarketRiders is an established and trusted company. It is great for DIY investing however if you are just starting out and prefer more of a hands-off approach you will probably better off with a different robo advisor.

Visit Website

Read Review

How does it work?

Account opening

Setting up an account is simple at MarketRiders.

You answer a handful of questions regarding your risk tolerance and goals along with some personal information. MarketRiders suggests portfolios based on this information. You can adjust the investment recommendations based on your needs until you settle on a portfolio that works.

If you choose the managed version, the account setup works the same way. You answer the questions which determine your risk tolerance and goals, but then MarketRiders manages your portfolio for you.

Deposit and withdrawal

If you use the DIY portfolio, the deposit and withdrawal limits and procedures are up to your chosen platform.

MarketRiders (both DIY and managed) require a $2,500 minimum initial deposit or portfolio.

If you use SogoMarketRider’s automated portfolio system, you can withdraw as much as you need/want at any time. If the amount requested exceeds the amount of cash you have in your portfolio, Sogo will sell ETFs to satisfy the amount.

Interface

The MarketRiders and SogoMarketRider’s platforms are easy to use. They are user-friendly, and make it easy to determine where your money is and what you should do. They even offer calculators that help you determine how much you can withdraw from your account without disrupting your portfolio allocation.

Account options

You may open a taxable (individual or joint) or retirement account at MarketRiders and SogoMarketRiders. The retirement accounts include traditional and Roth IRAs as well as rollover IRAs.

What can you trade?

MarketRiders invest only in ETFs. They don’t recommend investments in mutual funds or individual stocks. If you aren’t into investing in ETFs, this isn’t the right platform for you as that’s the only asset they trade.

Costs

MarketRiders (the DIY platform) charges the following fees:

• $14.95/month or $149.95 per year
• ETF fund fees chosen by MarketRiders usually have average fees of 0.17%
• There is usually a $10 trading commission every time you buy or sell an ETF

MarketRiders has a 30-day free trial if you want to try it out, but you still provide your funding information should you decide to keep the service.

SogoMarketRiders charges 0.75 percent of assets under management with a minimum management charge of $5 a month.

How does MarketRiders make money?

MarketRiders makes money by the fees they charge, whether you use the DIY platform or the managed portfolio. They make money monthly from both services.

Additional features

Cash accounts

Both the DIY platform and managed platform have cash accounts. You can keep a portion of your portfolio in cash if you feel better about having it for emergencies or you just prefer some liquidity. If you request a transfer from either account, MarketRiders first exhausts all cash in your account.

If your withdrawal request exceeds the cash amount, they will sell ETFs to obtain the remaining funds, which may result in more cash in your portfolio depending on how the numbers work out when they sell the ETFs.

Advisors

MarketRiders doesn’t have human advisors available. They do have online chat and email capabilities, but you won’t get financial advice. The only financial advice they offer is what you get in the platform, which is extremely helpful, but it’s not human advice if that’s what you’re looking for.

Education

MarketRiders has a great section on educational webinars.

Video

Pros and Cons

FAQ

How does MarketRiders provide you with advice without human interaction?

MarketRiders has a robust algorithm they use to watch your portfolio. When your portfolio needs adjusting, they have one of two ways of helping you, depending on the type of account you have.

If you use the DIY platform, the system alerts you via text or email (depending on what you set up) when you should make changes. It offers the necessary details to help you reallocate your portfolio accordingly.

If you use the managed portfolio, SogoMarketRiders handles the reallocations for you. This means you don’t have to worry about the reallocations yourself, taking the pressure off you.

How does MarketRiders bill the annual management fee?

If you choose the SogoMarketRiders program, you’ll pay a management fee of 0.75 percent of assets under management. MarketRiders bills you monthly, based on your average daily balance.

Everything is included in this fee, though. You don’t have to worry about ‘other’ fees including commissions trade costs, and custody fees.

There is a minimum $5 charge per month. If you don’t have enough assets to cover a fee of $5, you’ll be charged $5 anyway.

How hard is it to set up an account with MarketRiders?

Both processes are simple when setting up an account with MarketRiders. Whether you open up a DIY account or managed account, the process takes approximately 15 minutes.

For both accounts, you need a portfolio of at least $2,500. If you already have portfolios at another broker, make sure it’s worth at least $2,500. If you’re choosing the managed account, you’ll need $2,500 to open an account.

MarketRiders asks simple questions and they walk you through the process carefully. If you have any questions throughout the setup process, you can chat with them online to get help right away.

Who holds your money when you use MarketRiders?

Who holds your money depends on which service you choose. If you use the DIY platform, the broker you have your portfolio with holds your funds – not MarketRiders. For example, if you have a Schwab account, they hold your funds and handle your deposits and withdrawals. MarketRiders only provides the advice to help you manage your account.

If you have a managed account, your funds are held by SogoTrade who is a member of FINRA and has SIPC insurance. SogoMarketRiders and SogoTrade are companies that work together to help you meet your financial milestones.

How many portfolios can you manage with Market Riders?

This is an area MarketRiders really shines. You can manage up to 10 portfolios with one subscription. That means for $14.95 per month you can manage 10 different portfolios rather than paying for 10 portfolios.

Can you use MarketRiders to manage your employer-sponsored 401K?

It depends. In some cases, yes you can, but it’s tricky. Your employer must allow you to manage your own 401K in your own brokerage account for MarketRiders to be able to help. If this is the case, you can use MarketRiders because it will provide you with advice on which ETFs to buy, and then you can execute the trades.

Can you use mutual funds in your portfolio?

MarketRiders only uses ETFs. They can’t change your portfolio from mutual funds to ETFs nor do they recommend mutual funds. Their investment method focuses only on ETFs that work the best for your portfolio. All the advice they provide pertains to ETFs and includes rebalancing instructions to help get your portfolio back on track.

Alternatives

MarketRiders vs Betterment

If you’re looking for a robo-advisor to ‘do the work for you,’ Betterment is a better choice.

MarketRiders is for the ‘DIY’ investor although they do offer the managed version. Betterment’s fees are much lower (0.25% of assets under management).

Betterment uses the Modern Portfolio Theory like MarketRiders, and Betterment focuses on your goals and risk timeline. Like MarketRiders, Betterment rebalances your portfolio when it gets off course.

Betterment has a threshold of 5%. In other words, they rebalance your portfolio anytime it differs more than 5% from your current allocations. Betterment also rebalances your portfolio anytime you deposit or withdraw funds.

Current Promotions

MarketRiders has a 30-day free trial.

Worth It or a Scam?

MarketRiders is not a scam and is worth it for the DIY investor. If you want to manage your own portfolio but could use the advice of a professional, it’s the best of both worlds. At just $14.95 a month, it’s a great way to get the advice you need without paying the higher prices of human advisors.

While there are other fees involved, the majority of the costs fall under the monthly fee. MarketRiders is a great transition for the investor who wants to branch off on his/her own but who isn’t quite ready to do it all alone.

Summary

The platform is great for the DIYer who wants to be in charge of his/her investments. MarketRiders provides the advice, but it’s up to you to make the investments. It’s the best of both worlds, giving you the freedom you desire.

If you’re thinking about becoming a DIY investor, it’s time to check out MarketRiders. They are the best platform available that allows you to manage your accounts yourself while providing advice at the same time.

Robo Chooser

Use the following Quiz and find out which robo advisor is best for you.

If you have any questions, please comment below.

TD Ameritrade is one of the most well-known brokers available today and their offerings just keep getting better. Today they offer two programs – the Essentials Portfolios and Selective Portfolios platform.

Both platforms have the robust TD Ameritrade name, but the similarities end there.

• The Essentials Portfolio is your traditional robo-advisor and is great for those looking for ‘the essentials’ or the basics of a robo-advisor without getting overwhelmed.
• The Selective Portfolio is for investors looking for a more personalized approach. They offer human insight and a bit more personalized service with a wider selection of investments available.

Essential Portfolios

Selective Portfolios

Account Minimum

$5000 (or $500 when you set up recurring deposits)

$25,000.

Management Fee

0.30%

The management fee varies from 0.55% to 0.90% depending on the portfolio.

Portfolio

Morningstar-built, small portfolios of around 8 ETFs.

Custom

Rebalancing

Tax Loss Harvesting

Fractional Shares

Human Advice

Smart Beta

Automatic Deposits

401(k) Assistance

SRI

Best for

Investors who are looking for a low cost, goal-oriented robo advisor

Advanced investors who are looking for an actively managed portfolio with professional investment advice.

Supported Accounts

Individual and joint, Roth, traditional, SEP, SIMPLE & rollover IRAs. Trusts. Solo 401(k)s & Solo Roth 401(k)s. Corporate & business accounts. UGMA/UTMA.

 Individual and joint, Roth, traditional, SEP, SIMPLE & rollover IRAs. Trusts. Solo 401(k)s & Solo Roth 401(k)s. Corporate & business accounts. UGMA/UTMA.

Summary

Ameritrade offers a fair-priced robo advisor for beginner investors without trading fees.

This selective plan is geared towards the sophisticated investors, the portfolios have more variety and you can speak to financial professionals on the phone or even in person.

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Essential Portfolios

Account Minimum

$5000 (or $500 when you set up recurring deposits)

Management Fee

0.30%

Portfolio

Morningstar-built, small portfolios of around 8 ETFs.

Rebalancing

Tax Loss Harvesting

Fractional Shares

Human Advice

Smart Beta

Automatic Deposits

401(k) Assistance

SRI

Best for

Investors who are looking for a low cost, goal-oriented robo advisor

Supported Accounts

Individual and joint, Roth, traditional, SEP, SIMPLE & rollover IRAs. Trusts. Solo 401(k)s & Solo Roth 401(k)s. Corporate & business accounts. UGMA/UTMA.

Summary

Ameritrade offers a fair-priced robo advisor for beginner investors without trading fees.

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Selective Portfolios

Account Minimum

$25,000.

Management Fee

The management fee varies from 0.55% to 0.90% depending on the portfolio.

Portfolio

Custom

Rebalancing

Tax Loss Harvesting

Fractional Shares

Human Advice

Smart Beta

Automatic Deposits

401(k) Assistance

SRI

Best for

Advanced investors who are looking for an actively managed portfolio with professional investment advice.

Supported Accounts

 Individual and joint, Roth, traditional, SEP, SIMPLE & rollover IRAs. Trusts. Solo 401(k)s & Solo Roth 401(k)s. Corporate & business accounts. UGMA/UTMA.

Summary

This selective plan is geared towards the sophisticated investors, the portfolios have more variety and you can speak to financial professionals on the phone or even in person.

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What is TD Ameritrade?

TD Ameritrade has been in business for the last 40 years, helping investors make the most of their portfolios. Today, TD Ameritrade has more than 11 million clients and $1 trillion in assets. They average 500,000 trades a day, which makes them quite the big dog in the investment business.

How does it work?

Account opening

Essentials Portfolio – Investors need a minimum of $500 to open a TD Ameritrade account if they opt for direct deposits of at least $500 a month, otherwise, the minimum is $5,000. Like most robo-advisors, you’ll encounter a questionnaire that asks about your risk tolerance and timeline to create your portfolio. The Essentials Portfolio has 5 portfolio options for you to choose from.

Selective Portfolio – Investors need at least $25,000 to open a TD Ameritrade Selective Portfolio. The onboarding process is a bit more complex, but you can do it online or call 1-866-551-6917.

Deposit and withdrawal

Like most brokerages, you link your ‘funding’ account to your TD Ameritrade brokerage account, whether Essentials or Selective. You may set up direct deposit or transfer and contribute regularly to your brokerage account (recommended if you want the lower initial deposit requirement) or make manual deposits.

Withdrawals work in the same manner. You can request withdrawal to your linked account. If you have the cash in your portfolio, TD Ameritrade transfers it quickly. If they must settle a portion of your portfolio to meet your request, it can take up to a week to receive funds.

Interface

The interface is user-friendly, giving investors 24/7 access to their accounts. You can log in to change your goals or timelines at any time. Being able to track your investments, see your progress, and ask questions is helpful for any investor whether they use the Essential or Selective portfolio.

Trading options

TD Ameritrade offers the largest selection of account options including:

• Individual or joint taxable account
• Traditional retirement account
• Roth retirement account
• SEP IRA
• SIMPLE IRA
• Rollover IRA
• Trusts
• Solo 401(K)
• Roth Solo 401(K)
• Business accounts

What can you trade?

Essentials – The Essentials platform focuses on ETFs. Each portfolio is Morningstar built and includes approximately 8 ETFs. TD offers 5 portfolios including a socially responsible portfolio.

Selective – TD offers a handful of portfolios based on your timeline and goals. For example, the Core Portfolio consists of mutual funds and/or ETFs covering a wide span of investments. The Supplemental Income Portfolio places more emphasis on fixed income securities and fewer equities.

Costs

The Essentials Portfolio costs 0.3% of assets under management.

The Selective Portfolio costs vary based on the amount invested and the portfolio chosen but usually average around 0.55% – 0.9%.

Additional features

Cash account

You may have a cash balance, but TD Ameritrade doesn’t offer any type of cash management services with either service.

Human advisors

Essential Portfolio – You have access to a team of advisors who can answer your questions and help you make investment decisions.

Selective Portfolio – You get more professional insights with the Selective Portfolio. It’s a mix of technology and human advisor, giving you the best of both worlds. You may work with a financial consultant or make your own decisions based on the advice provided by the platform.

Customer service

TD Ameritrade offers customer service via email and live chat Monday – Friday 7:30 AM – 7:00 PM ET. Selective Portfolio investors may have access to phone customer service as well.

Research

TD Ameritrade offers robust research options powered by Morningstar as well as other third-party providers.

Education

TD Ameritrade offers a wide range of educational opportunities including webcasts, market news, and full-blown curriculum opportunities.

Video

TD Ameritrade Pros and Cons

FAQ

Is TD Ameritrade good for beginners?

Beginners should start with TD Ameritrade’s Essentials Portfolio. As the name suggests, they stick to the essentials. They don’t confuse you with a crazy number of investments or choices. With 5 portfolios to choose from and only 8 assets in each, it’s easy to get the hang of investing, while TD Ameritrade does the heavy lifting. Check out all the best robos for beginners in this post.

What are TD Ameritrade’s ETF expense ratios?

All ETFs have expense ratios. This money doesn’t go to TD Ameritrade, though. The 0.3% of assets under management or (0.5 – 0.99% for Selective) are the only fees TD Ameritrade collects. If you trade ETFs, expect to pay 0.06 – 0.07% for regular portfolios and 0.10 – 0.17% for socially responsible portfolios.

How often does TD Ameritrade rebalance accounts?

All TD Ameritrade accounts are rebalanced annually, but they also rebalance on an as-needed basis. If you make deposits or withdrawals, for example, they’ll need to rebalance. They also rebalance when the market takes a turn (for better or worse).

Is onboarding difficult?

TD Ameritrade makes onboarding easy for both Essential and Selective portfolios. After answering the questions, they recommend a portfolio. You are free to go through the various options, though, choosing the one you think is right for you. It’s usually best to stick with TD’s choice, though.

How much money can tax-loss harvesting save?

TD Ameritrade offers free tax-loss harvesting, which is a huge benefit. They say they can save investors up to $3,000 in tax liability by using this practice when you sell off an asset with high capital gains.

How many socially responsible portfolios does TD Ameritrade have?

TD Ameritrade has an impressive 5 portfolios to choose from if you are socially-minded. You can choose the portfolio that aligns with your beliefs so your investments and beliefs align.

How are Selective Portfolio investment fees calculated?

Unlike the Essentials Portfolio, the Selective Portfolio’s management fees depend on the amount invested and chosen portfolio. Investors know the fees before choosing an investment.

How does TD Ameritrade make money?

TD Ameritrade makes money on the fees they charge for each portfolio. They don’t charge commissions for the trades, and any fees you pay for ETF or mutual fund management goes to the fund manager, not TD Ameritrade.

Alternatives

TD Ameritrade vs Interactive Brokers

Interactive Brokers is good for active and passive investors looking for a larger investment selection. Investors may trade stocks, bonds, and ETFs like most robo-advisors.

You may also trade options, futures, forex, and metals, though. IB offers 4,300 no-load fee mutual funds, but their platform is a bit harder to navigate compared to TD Ameritrade. IB charges a flat fee, versus a percentage of assets under management.

TD Ameritrade vs Webull

Webull, like most robo-advisors offers commission-free trades. Webull targets technical investors though.

If you’re into technical research and want to know the ins and outs of each investment, Webull is your platform. Webull offers extensive research and educational opportunities and offers margin trading and after-hours trading.

TD Ameritrade vs Etoro

Etoro is for the advanced investor looking for different investment options, especially cryptocurrency. Etoro doesn’t have an account minimum and has zero commissions. Etoro is also for the social investor – one who likes to know what other investors are doing and will copy or mimic their investments. If cryptocurrencies were something you were interested in, Etoro is the right platform.

TD Ameritrade vs RobinHood

Robinhood was the first robo-advisor to offer commission-free trades, but many have quickly followed suit. Robinhood trades all assets including stocks, ETFs, options, and cryptocurrency.

It is a basic platform, which is great for beginners. Since you don’t need an account minimum, anyone can start investing, getting a feel for how it works even with a minimal deposit.

Current Promotions

Account minimum of only $500 when setting up recurring deposits (essential portfolios)

Worth It or a Scam?

TD Ameritrade is as legitimate as they come. It’s a household name and with its two robo-advisor offerings, there is something for everyone.

Whether you’re a beginner and want a simple portfolio with 8 or fewer assets that are easy to manage or an experienced investor looking for a more robust experience, possibly managing your investments on your own, there’s something for you.

Summary

If you’re looking for a reputable robo-advisor with simple options and yet robust educational and research opportunities, TD Ameritrade is a great option.

You’ll get the best of all worlds, low fees, exceptional investments, and the guidance you desire whether complete hand-holding or a bit of DIY with guidance.

Robo Chooser

Use the following Quiz and find out which robo advisor is best for you.

Do you have an investment strategy or do you wish someone would tell you how and where to invest?

Folio Investing provides just what you need whether you know where you want to invest and in what allocations or you want someone to do it for you.

Check out my review to see if Folio Investing is worth it or not.

What is Folio Investing?

Folio Investing is a robo-advisor with a twist. You can choose the traditional premade folios, like most robo-advisors offer or you can create a custom folio.

You also have the option to choose a Ready-to-Go Folio and customize it. Folio emphasizes long-term investing with diversified assets in as many as 100 securities.

Self-directed Investors

Account Minimum

$0

Management Fee

$29 monthly for unlimited transactions

Portfolio

Customizable, up to 100 different securities. ETFs, mutual funds and stocks

Rebalancing

Tax Loss Harvesting

Fractional Shares

Automatic deposits

Smart Beta

SRI

401(k) Assistance

Human Advice

Account Types

Individual, Joint, Custodial, Trust, Business, Roth, Traditional, Rollover, Simple and SEP-IRA

Best for

Self-directed investors who want a hands on approach and say in their investment.

Summary

Folio Investing allows you to customize your own folios. You do however also have the option to invest in a variety of pre-made folios. There is also an option to exclude certain securities to make your portfolio 100% socially responsible.

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Self-directed Investors

Account Minimum

$0

Management Fee

$29 monthly for unlimited transactions

Portfolio

Customizable, up to 100 different securities. ETFs, mutual funds and stocks

Rebalancing

Tax Loss Harvesting

Fractional Shares

Automatic deposits

Smart Beta

SRI

401(k) Assistance

Human Advice

Account Types

Individual, Joint, Custodial, Trust, Business, Roth, Traditional, Rollover, Simple and SEP-IRA

Best for

Self-directed investors who want a hands on approach and say in their investment.

Summary

Folio Investing allows you to customize your own folios. You do however also have the option to invest in a variety of pre-made folios. There is also an option to exclude certain securities to make your portfolio 100% socially responsible.

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How does it work?

Account opening

Opening an account at Folio is simple. There is no minimum deposit requirement and each investor creates a ‘folio’ or portfolio. You provide your personal identifying information, link your bank account, and answer questions about your risk profile and goals. Folio then sets up ‘folios’ for you.

Folio’s ‘folios’ are baskets of securities or portfolios.

Each folio may contain from 1 to 100 securities and include fractional shares. You may have as many folios as you want/can afford. If you prefer Ready to Go Folios, you have more than 100 baskets to choose from. If you customize your folio, you also choose the weight of each asset – whether you equally weight all assets or customize each asset’s weight.

Deposit and withdrawal

Once you open an account, transferring money is simple. Open the Transfers page on your dashboard and select deposit. Follow the on-screen instructions, but you can deposit funds via electronic transfer, check, wire, direct deposit, or your bank’s Bill Pay service.

Withdrawals work the same way. Select Transfers from your dashboard and then withdrawals. You can withdraw funds via electronic transfer, check, or wire transfer. Only account owners with an account manager or owner titles may withdraw funds. Folio allows users with ‘Account Detail Viewer’ status to view your account, but they cannot make changes including withdrawals.

Interface

Folio’s platform helps you determine the type of investor you are and then gives you choices. Whether you create custom folios or use the Ready to Go Folios, they help you through the process. The interface is easy to use for any investor.

Its interface is a bit antiquated, so don’t expect anything out of the ordinary or very modern. It does its job and that’s it.

Accounts

Investors may open any type of investment account including individual and joint taxable accounts, custodial and trust accounts, retirement accounts including traditional and Roth IRAs, and Simple/SEP IRAs.

Costs

Folio Investing has a Basic and an Unlimited Plan:

Basic plan

$15 per quarter for each funded account that makes less than 3 trades per quarter.

The Basic Plan includes:

• Unlimited taxable and retirement accounts
• Unlimited folios, with each folio containing 1 to 100 assets
• Access to the Ready to Go Portfolios
• $4 for each window trade (per security)
• No required account balance
• $10 fee for market, stop, limit, or stop-limit orders

Unlimited plan

$29 a month or $290 per year.

The Unlimited Plan includes:

• Unlimited taxable and retirement accounts
• Unlimited folios, with each folio containing 1 to 100 assets
• Access to Ready to Go Portfolios
• Up to 2,000 trades with no commissions in two daily window trades
• $0.50 for each additional security trade
• No required account balance
• $3 for market, stop, limit, or stop-limit orders

Folio also charges some ‘special fees’:

• $100 full transfer out to another broker
• $20 per check withdrawal
• $12.50 per paper copy statement
• $45 per broker-assisted trade (via telephone)
• $25 per year IRA custodial fee
• $15 per quarter for balances left over after account closed

Folio’s mutual funds are no-load mutual funds. But they may have fees that the mutual fund company deducts right from the fund assets.

Additional features

Cash account

Folio offers a Cash Sweep program which ‘sweeps’ your uninvested cash into an FDIC insured interest-bearing account. The interest rates aren’t anything to get excited about – they match the interest rate you’d receive in your local bank’s checking account, but it’s better than leaving the cash not earning any interest.

The Cash Sweep program has tiered interest rates, though. The more cash you ‘sweep’ the higher the interest rate. This shouldn’t be an incentive to have cash, but if it happens, you know it can early a little interest. The Cash Sweep program provides access to check-writing and automated cash transfers.

You also have the option to ‘invest’ in FDIC PLUS, Folio’s highest-tier cash program. You invest your cash and earn money-market like rates.

Human advisors

Folio does offer broker-assisted trades, but at $45 a trade, you’re better off learning how to manage the trades yourself.

Customer service

Folio offers customer service via phone, email, or online chat. Customer service reps are available weekdays 7 AM – 9 PM ET; weekends 8 AM – 4 PM ET.

Research

Folio uses QuoteMedia for its stock research. You can view quotes, charts, financial analyses, and historical data.

Window Trading

Folio offers window trading, which could be good or bad, depending on how the market goes. Window trading means they only trade at certain times of the day. Basic members have one window and unlimited members have two. This means when the trade executes, it may or may not trade at the price that triggered the sale.

Virtual trading account

You can open a free watch account to test the waters before you invest with Folio. You trade ‘fake money’ in real-time to see how you’d do. You can have up to 10 watch folios to try out your own portfolios or to mimic a professional investor’s portfolio without risking your money.

Folio Investing Pros and Cons

FAQ

Does Folio Investing trade bonds?

Yes and no. Folio trades bonds in fixed-income ETFs, but they don’t trade individual bonds. If you want conservative investments, you can choose one of the Ready to Go Folios made for conservative investing but that has a decent amount of diversification.

Do you have to sign up for the Cash Sweep option?

No, Folio Investing automatically enrolls every investor in the Cash Sweep program. They’ll hold your funds in their FDIC insured account or into a partner FDIC insured bank. The accounts have extended FDIC insurance, covering deposits in the millions. If you want a higher interest rate or better returns, consider the FDIC Plus Sweep program.

Is there a required minimum balance for Folio Investing?

No, investors with any amount of money may invest at Folio. You don’t need a minimum or maximum for trading either. You invest with the amount you have, and can even buy/trade fractional shares if you want.

How do you create your own folio?

If you don’t like any of the Ready to Go Folios or you want to try your hand at investing, click ‘Add New Folio’ on your account page and follow the on-screen instructions. You can construct your entire portfolio or take an RTG Folio and customize it to your liking.

What can you trade?

Investors can trade stocks, ETFs, and mutual funds. You can buy in fractional shares or whole shares and include as many as 100 investments in one folio. If you want to trade crypto you’re probably better off with a robo advisor like RobinHood.

Did Folio buy Motif?

Yes. As of May 20, 2020, Motif closed down and sold its accounts to Folio. All Motif investors automatically were enrolled in Folio’s unlimited investing plan.

What is a Ready-to-Go Folio?

A Ready-to-Go Folio is a pre-built portfolio. They are great for beginning investors or those that want a passive investment. With as many as 100 securities in one folio, it’s a great way to diversify without the work. You can even customize an RTG if you want to remove/replace a few securities.

How is Folio investing different from mutual funds?

Mutual funds are investments in a variety of companies managed by an account advisor. You don’t own the underlying securities, but a piece of the securities with mutual funds. With Folio, you own the securities themselves and can buy/sell them as needed. With mutual funds, you’re at the mercy of the investment manager’s decisions.

How does Folio Investing make money?

Folio Investing makes money in many ways, starting with their monthly or quarterly fees. They also charge commission fees and have margin accounts, which they earn interest on when investors borrow to trade.

Alternatives

Folio Investing vs M1 Finance

Folio Investing and M1 are very similar in the fact that they both allow custom investments and encourage independent choices versus automated robo-advisors that choose investments for you.

M1 has lower margin rates and doesn’t offer mutual funds, whereas Folio does offer mutual funds, but doesn’t encourage them. M1’s dashboard is a bit more intuitive and modern, whereas Folio’s is a bit ‘old school.’

Folio Investing vs RobinHood

Robinhood has been around for a while now. It was the pioneer of the free-commission trades. Granted, they aren’t the only one that offers free commissions, but they have a lot of trading options including stocks, options, ETFs, and cryptocurrency. Robinhood is completely hands-off.

Once you answer the platform’s questions, Robinhood chooses a portfolio for you, manages it, and reallocates it as needed. Robinhood is great for millennials or anyone who prefers to trade on their mobile phone.

Current Promotions

First 60 days off for unlimited plan.

Folio Investing – Worth It or a Scam?

Folio Investing focuses on diversification. If you have a hard time diversifying or don’t know where to invest, it’s a great option. According to Folio Investing, investors lose as much as 50 percent of their potential lifetime earnings by not diversifying, making Folio a great option for those who’d rather not lose such potential.

Summary

Folio Investing offers the best of both worlds. They’ll invest for you, allowing you to just sit back and passively earn. They offer customization of a Ready-to-Go portfolio, allowing you to get some hand-holding while customizing your portfolio or completely starting your portfolio from scratch.

It’s great for beginning and experienced investors and is a great way to minimize taxes and maximize your investments. The fees are a bit on the higher end, however the flat fee model also allows for more transparency.

If you are still undecided, use the following tool to find out which robo best fits your investing needs:

Robo Chooser

Use the following Quiz and find out which robo advisor is best for you.

If you have any questions, please comment below.