Digital Wealth Management Market Update: A Mosaic of Models Emerges
Report Summary
Digital Wealth Management Market Update: A Mosaic of Models Emerges
Traditional firms will represent the largest share of digital wealth management client assets by the end of 2015.
Boston, March 3, 2015 – The digital wealth management marketplace has become more diverse: Traditional firms have entered the marketplace along with new startups that offer active management and hedge fund strategies to retail investors. The entry of traditional firms and the continued rapid growth of independent digital advisors are expected to increase digital wealth management client assets from approximately US$16 billion at the end of 2014 to a range of US$55 billion to US$60 billion by the end of 2015. Over time, separating the digital wealth management marketplace from the traditional one may be less relevant as traditional firms embrace multichannel delivery of advice and products.
This report, based on 2014 and early 2015 interviews with each firm discussed, provides an updated segmentation of the digital wealth management marketplace and estimates the size of the market. The report profiles the digital capabilities of 30 firms, including 14 digital RIAs (Betterment, Bicycle Financial, Blooom, FutureAdvisor, Covestor, Hedgeable, HedgeCoVest, NextCapital, Personal Capital, Rebalance IRA, SigFig, Wealthfront, and WiseBanyan), five incumbent providers with new digital offerings (Fidelity, Schwab, TD Ameritrade, TradeKing, and Vanguard), three client engagement technology providers (Blueleaf, eMoneyAdvisor, and Oranj), and eight online investment management technology firms (Betterment Institutional, Folio Institutional, Invessence, Jemstep Advisor Pro, Motif Advisor, NestEgg, Upside Financial, and Trizic).
This 61-page Impact Report contains 17 figures and 10 tables. Clients of Aite Group’s Wealth Management service can download this report.