4 Styles To Invest Your Money With New Finance Services

I always say new finance services will eventually replace traditional financial providers because they are 1000 times better at a fraction of the cost.

But sometimes the problem can be just finding and understanding the right service for our styles as investors. Technology, mobility, and the internet enable these providers to be so much better, but also so much more specialized.

These 4 new finance companies are already managing hundreds of millions of dollars for their customers, which is the right one for you?

Personal Capital:

Personal Capital >>>

Personal Capital >>>

This company is the future of financial advice. When you subscribe you can use their dashboard to link and track all your accounts in one place and you can hire a financial adviser to help you manage your money. With Personal Capital you get the best of technology and mobility with the personal service of a professional for only 0.90% in a market where the fees are normally between 2% and 3%. If you want to finally take control of your finances and be able to talk to a pro then Personal Capital is the best service for you.

Motif Investing:

Motif Investing >>>

Motif Investing >>>

If you always had the right investment ideas, but always picked the wrong stocks then this service is for you. The company and its community create portfolios with up to thirty stocks called Motifs that represent specific investment ideas. These can be “wind energy”, “mobile technology”, or “healthy food” and when you open an account, you can buy the whole portfolios in one trade for only $9.95. This way you can use Motif to invest or trade in ideas, talk to other users, and even build your own Motif that others can copy and invest in.

Wealthfront:

Wealthfront >>>

Wealthfront >>>

This service provides a professional asset allocation service, ongoing portfolio rebalancing, and tax loss harvesting for a fee of only 0.25% a year. When you subscribe you enter your profile, answer a few questions, and they recommend a model portfolio based on their investment strategy. If you accept their proposal you open an account, send the money and they manage your portfolio for you. If you prefer to focus your attention managing your career and living your life, with a professional service managing your money with tax efficiency, then Wealthfront is for you.

Jemstep:

Jemstep >>>

Jemstep >>>

If you don’t want to open new accounts or you just like where you currently have your money, but need professional asset allocation advice then Jemstep can be the perfect solution. When you subscribe you enter your profile and also link your existing accounts like IRAs, 401k’s, and individual brokerage accounts. Based on your profile and current portfolio they give you a recommendation of how to distribute your investments and in which mutual funds and ETF’s.  You also get a report of what to sell and what to buy so you implement the strategy on your existing accounts. All this for only $17.99 a month up to $150.000 in investments and then slightly higher for bigger portfolios.

Conclusion:

As you can see there are much better ways of managing your money than just using discount brokers or the traditional investment banks. It is only a matter of finding and selecting the best new finance service for your real investment needs.

About Donald McIntyre

From stock broker to internet entrepreneur, to financial adviser, to Newfination! Donald McIntyre started his career on Wall Street in 1992 working as an Investment Consultant for UBS Securities and then for Smith Barney Inc. In 1999 he started Dineronet.com, a financial portal for Latin America, with the support of investors SoftBank and Carlos Slim. In 2002 Donald started McIntyre S.A. to provide financial advisory services to Carlos Slim’s Inbursa and after 2004 opened the practice to private clients. In January of 2013 he started Newfination to help consumers discover the best new finance services to manage their money.

3 thoughts on “4 Styles To Invest Your Money With New Finance Services

  1. Thanks for including Jemstep in your post. 
    This is an excellent article because it recognizes – importantly – that their are many different types of investors with different investment management needs. Each of these firms provide a different offering although we are often broadly grouped together under the label of  “online investment adviser”.  
    As you pointed out, Jemstep clients do not need to transfer their assets over to us. They retain control of their assets in their existing accounts, with Jemstep providing recommendations on what they should buy, sell or hold in each accounts, including their 401k accounts. Although we provide step-by-step guidance (plus re-balancing), our service leans more to the “do-it-yourself” type of investor who wants to manage all of their accounts as a portfolio – which has significant benefits.
    Whichever route an investor chooses to go, you have listed some quality companies here that offer excellent solutions across the board. 
    Many thanks for your continued great work in the fintech domain.
    Regards,
    Kevin (Joint CEO, Jemstep)

    • Kevin Cimring Thank you for reading the article Kevin, I am glad you liked it and that you liked Newfination! 
      This is a market of $ trillions managed by a few traditional banks and companies, there is plenty of room to grow and provide creative and much better services like your company.
      Congrats to you!