The Nature of Robo-Advisors’ Portfolios

A very interesting article/study by Stephen Huxley and John Kim, which concludes: “The evidence suggests that the portfolios they recommend for “moderate” investors are neither significantly better nor worse than the S&P 500 Index. However, there is a common theme that all the robos share in terms of performance – their short-term nature. In terms of allocations among asset classes, their portfolios correlate most strongly with equity portfolios designed for short-term, one- to three-year holding periods rather than portfolios designed for longer time horizons.” Read the entire article here >>