Fidelity Go, the digital advice platform of Fidelity Investments, is the single best robo-advisor among a group of 13 that have been in business for at least two years, according to The Robo Ranking, published by Backend Benchmarking.
The Fidelity robo charges an all-in 35 basis points (called a management fee because the funds have zero expense ratios) and features “quality financial planning tools” and easy navigation capabilities, with no minimum investment required, according to the report. It doesn’t, however, offer automated tax-loss harvesting, which many robos tout, nor advisors to chat with — only support — or strong transparency since all its investment funds are proprietary.
Fidelity Go’s performance for a balanced stock/bond portfolio in a taxable account for an investor in the top tax bracket topped all other ranked robos, with a 4.97% annualized return over the past two years, according to The Robo Report.
SigFig followed Fidelity as runner-up for the best robo, with the second best annualized performance, up 4.77% on an annualized basis over the past two years. But unlike Fidelity, SigFig offers automated tax-loss harvesting and access to human advisors for clients with at least $10,000 in managed assets. The robo, which has a $2,000 minimum for retail clients, has partnered with UBS and Wells Fargo on their digital retail offerings and has received financing from UBS as well as Eaton Vance and Bain Capital.
Fidelity Go and SigFig also placed first and second for Best Robo for Performance at Low Cost.