Anyone used Betterment or Wealthfront? Can we list some pros and cons of these investments types?

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Pro:
-it’s easy for taxes
-autorebalancing of portfolio
-diversifies for you
-good UI

Cons:
-they have fees on top of the index fund fees
-no control over partitioning of funds outside of choosing your risk tolerance

In summary, If you are not a “finance person” and don’t care to be one, roboinvesting is a solid option for easy management of your money

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I would say the biggest differentiator (pro and con) is about tax loss harvesting.

Pros
- they have pretty reasonable asset allocation for broad passive investing at various risk tolerances
- they both offer tax-loss harvesting which can enhance after-tax returns, and is hard to accomplish efficiently on your own
- their fees are lower than any major service I’m aware of that includes tax loss harvesting
- they both integrate well with TurboTax (and probably some alternatives) when it comes time to recognize those tax benefits

Cons
- they don’t give you control over specific investments, beyond a single “risk tolerance” slider
- their fees (25bp once you hit a certain asset level) are still meaningfully higher than many services that just let you set recurring investments and maybe auto-rebalance, but don’t offer tax loss harvesting
- the tax loss harvesting service itself results in a ton of transactions (ok because you don’t pay a fee per transaction), which can produce a real mountain of paperwork come tax time. While TurboTax integration takes care of that, if you use some other tax prep method that doesn’t integrate well, you might find the time or money you spend on that paperwork expanding

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Used wealthfront and really liked it, unfortunately EY will not let you use it.

Wow, are index funds not allowed?

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