Skeptics say pure robo-advisors will have limited medium-term success; adding successful robo-advisors also have a traditional advisor element, while platforms focused more on the consumer side have plateaued. The company has raised $45 million in venture funding from investors including Andreessen Horowitz, Kleiner Perkins Caufield & Byers, and General Catalyst, according to Crunchbase. Will it go the Betterment route of creating an institutional platform, succumb to the current trend and be acquired by a traditional or try to go it alone?
Skeptics say pure robo-advisors will have limited medium-term success; adding successful robo-advisors also have a traditional advisor element, while platforms focused more on the consumer side have plateaued. Over the past year, a number of pure B2C robo-advisors have been acquired, meaning that Wealthfront is one of the few truly B2C platforms remaining. Will it go the Betterment route of creating an institutional platform, succumb to the current trend and be acquired by a traditional or try to go it alone?