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Is there a robo investor who provides both income and growth for those who are retired?

David | 18/01/2019 | 1

  • Robo Adviser

David's question in full

Is there a Robo Investor who provides both income and growth for those who are retired? (There must be a large market for this?) It seems to me that at the moment all the Robos focus on long term growth and reinvesting dividends - which is fine if you are younger. Have I got this right? Any comments / thoughts? P.S. I think your website / service is very good

Dr Richard Bradley's Response

Thanks for getting in touch, and for the nice feedback on our site.

You’re right – many robo-advisers are focusing more on investors building up assets rather than those taking income.  Most don’t offer pensions yet, and those that do typically don’t offer income drawdown for retirees.  The only one I know of which has specific drawdown functionality is PensionBee: https://www.pensionbee.com/drawdown

In terms of the actual investments that robo-advisers make, they’d typically reinvest dividends rather than focus specifically on generating income – they would look at the total return of a portfolio and let investors draw down from that.

 

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Richard Bradley

Richard started out at Holly’s previous business, The Platforum, in 2011, where he looked at how advisers and consumers deal with investments. Following that, he spent 18 months conducting financial services market research at international media agency Fundamental Media, before joining Boring Money in January 2017.

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