Thanks to advances in technology, saving and investing are more convenient than ever. A simple digital investing service, sometimes called “robo-advice”, is now available for motusbank members. It’s called VirtualWealth and, depending on your needs, it may be a service worth considering.
Here’s how it works.
You spend a few minutes answering an online questionnaire to gather information about you, such as your savings goals and timeline. Then you’re given a recommendation for a portfolio of investments that best suits your needs.
Once you’ve opened and funded your account, your portfolio is managed automatically. Your investments are regularly rebalanced to maintain the target asset allocation. Using the VirtualWealth website and mobile app, you can easily add funds to your account, and track the value of your portfolio as well as your progress towards your goal.
VirtualWealth also gives you the option of Responsible Investing portfolios, which incorporate environmental, social and governance considerations into the investment management process, to reduce risk and provide sustainable returns.
Who should consider digital investing services?
Digital investing services can be a good option if your investing goal is simple and straightforward, such as saving for a down payment on a house or for your kids’ education. And it’s well-suited to people who are just beginning to build their wealth: even when you’re starting out with a smaller amount to invest, you can have a well-diversified, professionally managed portfolio.
Advantages of digital investing services
The biggest advantage of digital advice services like VirtualWealth is that they are easy and convenient. You can invest in a well-diversified, professionally designed portfolio, without needing to spend any time researching or making buy and sell decisions.
Fees are quite low, so digital investing services provide great value too.
Another important benefit is that these services help reduce the temptation that investors sometimes feel to make decisions based on emotions. While market volatility is normal, it can lead people to become too pessimistic or too optimistic. When you’re investing, it’s usually best to stay focused on your long-term goal and ignore short-term market ups and downs. With a service like VirtualWealth, you delegate the management of your portfolio to professional managers, and your emotions are not part of the decision-making process.
VirtualWealth, our partner for offering investing advice, is powered by the same national organization behind Qtrade Investor, one of Canada’s top-ranked online brokers based on ratings by The Globe and Mail, Surviscor and MoneySense.
Learn more about VirtualWealth
Learn more about investing
Why should I invest?
The 5 good habits of successful investors
How to discover stock trading ideas with Qtrade Investor