New to investing? Sick of high account minimums? Tired of paying trading, management, and rebalancing fees? WiseBanyan could be the solution to all of your investing frustrations.
After witnessing firsthand the often misaligned values of financial advisors and their clients, combined with too high minimum investment amounts, and unreasonable fees the idea for WiseBanyan was born. This company was founded by Herbert Moore and Vicki Zhou.
WiseBanyan is now the world’s first free financial advisor. But is it too good to be true? Let’s take a look.
How it Works
When you sign up to create an account with WiseBanyan you’ll be put on a waitlist (which is pretty instant). You’ll be notified via email when you’re invited to create an account.
Upon creating an account you’ll be prompted to answer several investing related questions. These are scenario type questions in which you choose what you would do in the particular situation. Based on your answers WiseBanyan will assign you a risk score from 1-10 with 1 having a low risk tolerance and 10 having a high risk tolerance.
But don’t worry – if you’re not comfortable with the risk score WiseBanyan assigned you, you can change it.
Based on your risk score WiseBanyan will automatically invest your money for you into a diversified portfolio..
Different Accounts & Initial Investment Amounts
WiseBanyan offers several different types of investing accounts you can open, such as:
- Personal Investment
- Roth IRA
- SEP IRA
- Traditional IRA
The minimum investment is only $1 and you can create automatic contributions. WiseBanyan will do the rest for you.
WiseBanyan in Action
After answering the initial investing questions WiseBanyan assigned me a risk score of 7.7. I felt that this was accurate.
Upon creating my account I chose to open up a personal investment account. Since I wasn’t sure how my money would be invested and was slightly skeptical, I chose to only deposit $10.
It took around 2 weeks for my initial deposit to be transferred to my WiseBanyan account. I received correspondence letting me know that future transfers would only take around two days, which was reassuring.
After my money was deposited I logged back in to my account to see how it was invested. Here’s exactly where my money went:
I was very impressed. I didn’t know that $10 could be this well diversified!
I think WiseBanyan is very cutting edge and I love that everything is free. With my personal investment account I’ll probably keep the stock picking to myself. However, I am going to set up my retirement accounts with WiseBanyan and let them do the legwork for me.
From what I’ve seen and experienced so far I’d definitely recommend WiseBanyan to others. Sign up for a WiseBanyan account for free and get $20 when you sign up and stay for 6 months.
Would you give WiseBanyan a try? Any thoughts on their services?