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Wealthfront Total Assets Under Management (AUM)


2021 Wealthfront assets under management. Wealthfront AUM: total client assets and number of customer accounts.



Wealthfront Assets Under Management (AUM)


Wealthfront is easy and simple way to invest. However, it has limited functionality and will appeal only to clients who want a hands-free approach to investing. So how many customers and how much is total assets under management does Wealthfront have? Here are the numbers:

Wealthfront assets under management $25 billion
Wealthfront brokerage accounts number 400,000

Wealthfront is one the largest robo-advisors by both total client assets under management and number of accounts.


Wealthfront and Competitors


Broker Review Promotion
Offer
Stock/ETF
Commission
Mutual Fund
Commission
Maintenance
Fee
Annual IRA
Fee
M1 Finance $30 bonus for funding account with $1,000. Transfer account to get up to $4,000 bonus. $0 na $0 $0
Sofi Wealth 0% SoFi management fees. Plus, unlimited access to financial planners. $0 na $0 $0
TD Ameritrade $0 commissions + transfer fee reimbursement. $0 $49.99 $0 $0
Wealthfront na na na 0.25% 0.25%


The Good


There are many reasons to love Wealthfront’s IRA accounts. The firm makes investing for your retirement easy. Wealthfront does all the work for you.

Once your initial deposit has been added to your IRA account, you can quite literally set it and forget it. Wealthfront will rebalance your account, reinvest dividends, and much much more so that you get the most out of your money.

Wealthfront also makes setting up recurring deposits incredibly simple. Just click the “add funds” button on the account dashboard and within seconds you can set up a weekly, biweekly, monthly, and even quarterly recurring deposit. This deposit will be automatically deducted from the bank account you choose and added to your IRA on the determined day.

Worried that Wealthfront’s investing strategies won’t line up with your risk tolerance? Not to fear as Wealthfront allows you to take a risk assessment for free and at anytime to determine whether your portfolio’s risk should be changed. Folks with higher risk scores can expect higher returns, with the knowledge that those returns could just as easily be gobbled up by the market.





Younger account holders will likely prefer a riskier portfolio with higher exposure to emerging markets and other higher return assets, while account holders nearing retirement age will aim for a more conservative portfolio aimed at wealth preservation. Wealthfront offers both, along with everything in between.

Wealthfront manages your first $10,000 free across all account types, but even after you cross this threshold, the fees Wealthfront charges are a fraction of traditional advisors. There are absolutely no commissions on trades with Wealthfront, no matter how many are made from your account. Better yet, Wealthfront charges only a 0.25% per year management fee once your account exceeds $10,000. With traditional advisors charging nearly twelve times this amount, Wealthfront is saving you huge amounts over time. On an account valued at $100,000, that’s the difference between Wealthfront charging $225, and the traditional advisor charging $3000. The savings is huge, especially when it comes to your IRA account.

Now you’re probably wondering what sort of return you can expect from Wealthfront’s IRA’s. The answer, much like the rest of Wealthfront, is simple. You can expect at least what the best advisors are returning.





Last, but certainly not least, Wealthfront allows you to increase the amount they will manage for free. For every person you refer that opens and funds an account, Wealthfront will manage an extra $5000 absolutely free.


The Bad


There really aren’t a whole lot of negative things to say about Wealthfront’s IRA’s. The biggest knock is that they are not easy on the small account holder. Wealthfront requires a minimum deposit of $500 to open an account and a minimum deposit of $100 to set up a recurring deposit. For the account holder that doesn’t have the upfront cash to get started right away, this can be a deal breaker.

Most robo advisors charge an annual fee for their services anywhere from 0.15% to 1.00% of total assets. One company, called Ally Invest Advisors, stands out from the crowd. This robo advisor charges no commissions or fees to invest with them.

Learn more in No Advisory Fees at M1 Finance »