Having alluded that there was some good news to come at the recent Robo-investing Europe 2017 conference, Cardiff based robo investor Wealthify has published its first-year investment returns which show that all five of its risk-rated portfolios – cautious, tentative, confident, ambitious and adventurous – beat their benchmark in its the twelve months to 11th February 2017.


Announcing that its highest risk portfolio returned 28.5% compared to an industry average of 23.5%, Chief Investment Officer Michelle Pearce told FT Adviser: ‘We’ve achieved higher growth for our clients’ investments in comparison to a raft of major traditional wealth managers, all the while staying committed to low fees, transparency and a small minimum investment.

‘Our returns, combined with our simple, affordable and jargon-free approach to investing means everyone, regardless of their experience, can make their money work harder than it currently does in cash savings.’

‘make their money work harder than it currently does in cash savings’

At the gamey end of things Wealthify’s  ‘growth’ portfolio achieved returns of 28.5% and its ‘ambitious’ one grew by 22.2%; however, at the other end of the spectrum, the ‘confident’ portfolio added 18.3%, ‘tentative’ 11.9% and even the ‘cautious’ portfolio returned 8.9%.

Wealthify’s performance is measured against  benchmark data from Asset Risk Consultants (ARC), which combines the performance of thousands of other investment portfolios, including those managed by leading lights of the UK investment management sector such as JP Morgan, UBS and Barclays.

Wealthify has set out its stall to convert one million savers – predominantly those getting sub-inflation returns on Cash ISAs – into investors, targeting them with its very simple and intuitive proposition.

‘even the ‘cautious’ portfolio returned 8.9%’

It’s a juicy prospect with around £700bn in cash savings accounts in the UK, and albeit with the stiff tailwind of strong global markets, Wealthify’s performance does display just how much those savers could be missing out on; just one quarter of UK savings transferred into investments and achieving the return of Wealthify’s most cautious risk plan would have grown by £15bn in just the past year.

In the meantime Wealthify is now able to white label its technology so that financial advisers can offer the service to their clients as ‘hybrid’ advice pairing occasional face to face interaction with automated investment management becomes more common.

Its technology can be both own or co-branded, and implemented in as little as two months; a fraction of the 18 months it would take to build from scratch, and offers a far more cost-effective rote to market for advisers or other institutions.

Co-founder and CEO of Wealthify, Richard Theo said: ‘Our mission is to democratise investing.

‘We’ve already made strides towards this and white labelling our technology is the next logical step in making affordable and easy-to-use investing services available to an even wider range of people.

‘Our tried-and-tested infrastructure and award-winning UX [user experience] enables financial institutions to offer a new service to customers without having to employ an expensive tech team to build it, allowing them to enter a rapidly expanding market in a short timeframe.’

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