Wealthfront Review
Automated investing with tax-loss harvesting that actually works
Wealthfront is a robo-advisor that automates your investing with a portfolio of low-cost index funds, automatic rebalancing, and daily tax-loss harvesting. It is the set it and forget it approach to building wealth.
The tax-loss harvesting alone is worth the 0.25% annual fee — Wealthfront claims it adds 1.8% to after-tax returns on average. The cash account (currently 4.50% APY) is one of the best high-yield savings accounts available, with FDIC insurance up to $8 million through partner banks.
Minimum $500 to start. The 0.25% fee on a $10K portfolio is $25/year — less than one trade on most platforms.
What we like
- Set-and-forget automated investing
- Tax-loss harvesting adds real value
- 4.50% APY cash account
- Low 0.25% annual fee
- $8M FDIC insurance on cash
What could be better
- No individual stock picking
- $500 minimum to start
- Limited customization vs self-directed
The Bottom Line
Wealthfront earns a 4.7/5 rating. It's one of our top picks in this category — and for good reason. The commission structure pays well for each qualified referral.
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