Overall, Wealthfront appears to be an excellent investment service. We think it’s one of the best robo advisors, actually. It shines with taxable accounts. Now that Wealthfront offers tax-loss harvesting for all accounts, its service can minimize your annual tax expenses.
If you’re a beginning investor who’s leery of jumping into individual security selection and management, Wealthfront would be an excellent choice. And it’s a superior vehicle for any passive investor since the selection and maintenance of individual securities is completely unnecessary. Such an investor should supplement their Wealthfront position with substantial cash-type holdings outside.
But more active investors can find use here if they supplement with a self-directed account.
But it’s the everyday savers whom Wealthfront is particularly looking to reach. With its Path planning model, you can “set it and forget it” and let Wealthfront do all of the heavy lifting.