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What is RoboAdvisor ?

RoboAdviso is an Online Portfolio Management application which provides recommendation based on algorithm to investors. The products recommended are of low cost and it is free from any human intervention. The Financial plans are generated dynamically by the algorithm.

How does RoboAdvisor work ?

RoboAdvisors tries to understands what are the requirements of the clients by asking few questions and they are as follows.

  • Age
  • Amount of Investment
  • Time Horizon of the investment
  • Risk Profile of the investors

Once these Data’s are provided by investors, then Robo-Advisor dynamically creates Financial Plan based on the data provided by investors.

The Financial plan shows how much should be allocated to which asset class and among that asset class what should be allocation to various schemes. It also shows how has the fund has performed in the past and what are the future expectations from it.

Do you charge any Fees ?

No, RoboAdviso doesn't charge any fees.

RoboAdviso recommends very low cost funds and earns approx 0.5% from them.

Why this asset allocation ?

RoboAdvisor creates financial plans or Portfolio’s based on asset allocation only. These asset allocations are designed by Industry experts who have won many accolades under their belts.

The asset allocation are designed by in such a way that it suits the risk profile, time horizon and age of the investors. Whenever roboadvisor feels that the investors can take higher risk then it gives it’s suggestion.

Why mutual funds only ?

The basic idea of RoboAdvisor is that it will recommend low cost and simple products. Mutual funds are the best low cost products in the industry. Expensive products never gives higher returns as most of the gains are eaten up by the product manufacturers & advisors. In case of Mutual funds if you invest in Mutual funds then you are taking less risk and you will ultimately end up making higher returns.

Why so many funds ?

RoboAdvisor recommends funds in such a way that your money is invested a basket of funds which are well diversified across various strategies and which are tax efficient and which are less risky. The Portfolio of the funds is prepared in such as way that funds are diversified across fund houses, fund managers, investment strategies etc. The whole idea is to maximize the risk per unit of return and reduce the volatility.

Why debt funds when I can take high risk ?

Debt Funds solves two purpose in portfolio.

Firstly, It helps in Building a corpus which can be used to shift to volatile asset class when there is a sharp fall in the market. Secondly, It provides some stability in the portfolio by bringing down the volatility.

What is SIP ?

SIP is systematic investment plan which helps you to invest a fixed amount regularly in a mutual funds scheme every months.

Benefits of SIP

  • Disciplined approach to investments. It helps you mandatorily save every month.
  • No need to time the market
  • SIPs help in achieving rupee cost averaging
  • SIP investment helps in getting the benefit of compounding and help in creating a big corpus over a longer period.

How can I trust RoboAdvisor ?

You do not trust a person when you meet him first time for management of your hard earned wealth . It’s only after subsequent meetings which helps you build trust and then this trust continues for life long. We are not saying that you should Trust RoboAdvisor. But you should give it a try so that you can look at the benefit of it. In mean time we can share with you Some of our credentials which would help build trust.

The Algorithm has been designed from a team of professionals of Alpha Capital who have won many recognitions worldwide. Few of these are as follows.

  • Asian Advisors of the Year at Citywealth Magic circle awards 2015- London
  • “Independent Financial Planner of the year – National” at Money Today FPCIL Awards-2015
  • Asian Advisor of the Year at Citywealth Magic Circel Awards 2013 London
  • Best Financial Advisor – National at CNBC Financial Advisor Award 2012.

RoboAdvisor is not here to sell any products. It is here to help you in solving your financial planning decisions.

What is projected performance ?

Projected performance shows expected returns of the portfolio in the time horizon with a probability of 95%. The steps involved in calculating the projected performance is as follows.

  • Step 1:- Portfolio daily NAV is calculated.
  • Step 2:- Daily Rolling Return is calculated from portfolio Nav for the specified time horizon.
  • Step 3:- Average & Standard Deviation is calculated from the rolling return.
  • Step 4:- Range of returns with 95% probability is calculated using the Standard deviation
  • Step 5:- The Portfolio NAV will be updated once in a month and returns will be adjusted accordingly.

How have you derived the past performance ?

Past performance is derived by calculating using the historical Portfolio NAV.

Can I change my asset allocation after investment ?

Yes you can change the asset allocation after the investment.

Will the investment be made in my name ?

Yes all the investment would be made in your name only. All the investment will be in your control. RoboAdvisor is here only to help you in making good returns in an efficient manner.

Do you provide individual relationship manager for my portfolio?

Yes, Every account will have an individual relationship manager.

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