Does anyone have a Wealthfront cash or investment account? How good is it? I am planning to create one. Offers a better yield compared to few others and my friend recommended this. I Want to get more opinions.
#personalfinance#investments
Netflix sjn37Jan 29, 2021
Investment account is okay, you could replicate the portfolio yourself without paying the management fee. Performance and volatility for 2020 was about the same as S&P 500.
The automatic tax-loss harvesting feature can be pretty nice. Saved about 3.6% of portfolio value in taxes (allegedly).
Avoid the risk-parity fund, that's a fee trap.
eBay JMe774OPJan 29, 2021
Thanks what abt the cash account? Is it good to keep a good savings amount in there? How safe is it?
Netflix sjn37Jan 29, 2021
It's a decent option. Its yield (currently 0.35%) isn't as high as other options out there. Marcus and Amex have savings accounts that currently pay out 0.50% APY.
It does have some nice features though. The account is FDIC insured for $1M (others normally insure for $250K). The additional checking account capability is also nice if you're going to be writing checks or moving money frequently.
Investment account is okay, you could replicate the portfolio yourself without paying the management fee. Performance and volatility for 2020 was about the same as S&P 500. The automatic tax-loss harvesting feature can be pretty nice. Saved about 3.6% of portfolio value in taxes (allegedly). Avoid the risk-parity fund, that's a fee trap.
Thanks what abt the cash account? Is it good to keep a good savings amount in there? How safe is it?
It's a decent option. Its yield (currently 0.35%) isn't as high as other options out there. Marcus and Amex have savings accounts that currently pay out 0.50% APY. It does have some nice features though. The account is FDIC insured for $1M (others normally insure for $250K). The additional checking account capability is also nice if you're going to be writing checks or moving money frequently.