By Moriah Costa on Tuesday 14 March 2017
FOL Wealth has unveiled an automated investment service to complement its wealth management services.
A London-based financial advisor has launched a robo advice like service for its clients. FOL Wealth, began offering its automated service at the end of February to give customers access to low-cost advice.
“Everyone is changing the way they interact on a daily basis so it is prudent to respond to changes in attitude, behaviour and appetite of consumers,” said Abi Ladele, who started the firm in 2016. “We want to be at the forefront of what is eventually inevitable.”
Robo advice is the term given to automated wealth management advice and varies from apps on phones to online services. Clients invest in various portfolios based on surveys that take into account things like appetite for risk. The funds are often traded through Exchange Traded Funds.
The wealth manager charges an annual fee of 0.90 per cent with a minimum investment of £1,000.
The automated service is meant to complement the human touch and does not replace personal financial advice, Ladele said.
“In the context of falling trust globally, firms that view robo advice as black boxes to generate income will likely lose out to those offering a personal touch,” he said. “The application process captures sufficient information about the client, which can be assessed for future advice.”