1、The Robo ReportBringing Transparency to Robo InvestingEdition 30|4Q 2023David Goldstone,CFAManager,Investment ResearchThomas Leahy,CFAFinancial AdvisorKristopher Jones,CFAFinancial AnalystKen Schapiro,MBA,CFAChief Executive OfficerTHE RANKING EDITION2The Robo Report&Robo Ranking Merrill Guided Inves

2、ting,the winner of Best Overall Robo,distinguishes itself with a tiered service model and robust performance,high-lighted by its strategic investment choices and comprehensive planning tools.The winners of Best Robo for Digital Financial Planning,Empower and Wealthfront,serve as an example of simple

3、 yet effective online planning.SoFi,US Bank,and Stash excelled in one-year per-formance,benefiting from their focus on growth stocks and domestic equities,aligning with the markets pref-erence for growth over value.Over three years,Schwab Domestic Focus,Wealth-front,and Zacks Advantage led with thei

4、r U.S.equity allocations,showcasing the value of domestic expo-sure in a tough global market.In the trailing five years,Wealthfront,Fidelity Go,and Zacks stood out due to large-cap U.S.equities.The past five years in fixed income emphasized the benefit of duration management and municipal bonds.High

5、lightsWelcome to The Robo Report&Robo RankingCondor Capital Wealth Management is proud to publish the 30th edition of the Robo Report,covering the fourth quarter of 2023,and the 12th edition of the Robo Ranking.This Report is a continuation of an ongoing study that monitors well-known robo advisors.

6、We strive to provide a reliable resource for both investors and professionals interested in the digital advice industry.3The Robo Report&Robo RankingContents4 Executive Summary5 The Robo Ranking6 Robo Ranking Scores8 Access to Advisors and Planning9 Best Robo Advisors12 Robo Ranking Facts14 Robo Rep

7、ort Top Performers15 Performance Commentary18 Total Portfolio Performance19 Terms of Use and DisclosuresAll supporting data can be found online at TablesTotal Portfolio ReturnsEquity&Fixed Income ReturnsFees,Minimums,and AllocationsRisk StatisticsNormalized BenchmarksInternational AllocationDisclosu

8、res4The Robo Report&Robo RankingExecutive SummaryThis edition of theRobo Report,published by Condor Capital Wealth Management,tracks 41 accounts at 26 different providers.TheRobo Reportcontinues to evolve,and this quarter,we bring you our usual data,which can be found online at well as performance c

9、ommentary for the quarter.The Robo RankingMerrill Guided Investing and Schwab Intelligent Portfolios con-tinue to lead in our Best Overall Robo Advisor ranking.Com-prehensive details and the complete scoring for our ranking are accessible in the Robo Ranking section of this report.Condor Capital Wea

10、lth Management is excited to introduce the 12th edition of the Robo Ranking,a comprehensive as-sessment of robo advisors using over 45 metrics,including actual performance data.This latest edition underscores the continued relevance and appeal of robo advisors due to their affordability and low inve

11、stment minimums.The Robo Report is committed to fostering transparency in digital advice,guid-ing investors towards services catering to their unique pref-erences.In this context,its pertinent to remind our readers that the scoring methodology was refined in the previous edi-tion.They represent an e

12、volution in our criteria,including the segregation of base and premium/hybrid tiers,an enhanced emphasis on pre-onboarding transparency,and the fine-tun-ing of portfolio customization options.These relatively recent changes underscore our ongoing commitment to adapt and respond to the dynamic landsc

13、ape of digital financial advice.Market Overview2023 wrapped up with a strong year-end rally for investors,highlighted by a significant 26.26%surge in the domestic S&P 500 Index.This performance was largely attributed to expec-tations of a dovish pivot in Federal Reserve policy,responding to declinin

14、g inflation and the anticipation of rate cuts in 2024.Fueled by an AI frenzy,technology stocks led this surge,with notable performance in the financial services and healthcare sectors.Despite these gains,international markets lagged the performance of domestic markets,with the MSCI EAFE Index increa

15、sing by 18.95%.This is partly due to Chinas economic slowdown impacting global growth prospects.Fixed income markets also witnessed a rally,buoyed by im-proved inflation data,leading to a sharp decline in yields.This environment saw the Bloomberg U.S.Aggregate Bond Index climb by 6.82%in the fourth

16、quarter,with corporate bonds outperforming government securities.See page 15 for more.Industry UpdateIn the ever-evolving robo-advisor sector,JPMorgan Chase has announced the closure of its digital robo-advisor service.The decision comes after recognizing that the service did not achieve the expecte

17、d level of demand,scale,or profitability.The bank also pointed out that the robo-investing business hasnt met expectations in terms of customer acquisition and financial sustainability,leading them to focus on their self-di-rected and advisor-led platforms as more viable alternatives for their clien

18、ts.This move reflects broader challenges within the robo-advisor industry,where profitability and scalability have been longstanding issues despite the initial high hopes for these digital platforms to attract new customers easily.JPMorgan Chases strategy shift aligns with their assessment that thei

19、r other investment services better serve their client bases needs.Regarding Betterment,the account we track received pay-ment as part of the settlement that Betterment made with the SEC over software issues.This development is part of the ongoing narrative within the robo-advisor space,where regulat

20、ory compliance and software integrity remain critical to maintaining trust and ensuring the smooth operation of these digital platforms.5The Robo Report&Robo RankingThe Robo RankingCondor Capital Wealth Management is excited to publish the 12th edition of the Robo Ranking.The Robo Ranking is the onl

21、y comprehensive ranking of robo advisors.It examines not only the features and services but also portfolio perfor-mance that is sourced from real accounts tracked by the Robo Report.Robo advisors have taken the advice industry by storm,with the larger indepen-dent providers continuing to show strong

22、 growth and innovative features,and robo-advice technol-ogy being adopted across banks,brokerages,and other traditional advice firms.Robo-advice pro-viders are proving attractive to individual inves-tors in large part due to their significantly lower minimums and costs.Here at the Robo Report,our go

23、al is to bring transparency to the digital advice industry to empower investors to seek the best products and services.IntroductionThe Robo Ranking grades robo advisors across more than 45 specific metrics and is the only examination that includes real and reliable performance data.We scored each ro

24、bo on various high-level categories,such as features,financial plan-ning,customer experience,access to live advisors,transpar-ency and conflicts of interest,size and tenure,account min-imums,costs,and performance.Each metric that we grade is specific and unambiguous.The details of how we created the

25、 scores and Ranking can also be found on our website.The Robo Ranking is a powerful tool to help those investors who are considering using a digital advisor.Although we rank and give each robo an overall score,we also acknowledge the differences in individual investors and their situations.To help i

26、nvestors find a product that is right for them,we created sub-rankings to highlight where different products excel.Once investors have identified their needs,the catego-ry rankings can help them select a provider that stands out in the areas that are most important to them.The performance score is p

27、artly based on the Robo Reports innovative method to compare globally diversified portfolios called Normalized Benchmarking.A methodology of Normalized Benchmarking can be found on our website.We recently updated our scoring methodology,focusing on the Access to Live Advisor and Financial Planning s

28、egments.The revision distinguishes between the base and the more sophisticated premium or hybrid service tiers.The overall score now mirrors services offered at both tiers,highlighted by detailed tables and graphs for a transparent breakdown of points per tier.Additionally,weve added a point in the

29、Access to Live Advisors section for robos providing live operational support,complementing points for those with licensed ad-visors ready to tackle personalized queries.Additionally,weve updated the transparency scores,notably requiring portfolio asset class allocation models to be acces-sible befor

30、e the onboarding process beginsa shift from the previous method of awarding points for availability during onboarding.Now,extra points are awarded for publishing detailed models before completing the onboarding question-naire.The criteria for portfolio customization have also been revised;points are

31、 now awarded for the ability to tailor the robo portfolio itself,moving away from adjustments based on customer-specific holdings.Furthermore,points for the onboarding process have been eliminated,including those related to inquiries about investment attitudes.Instead,an additional point is availabl

32、e for chat functionality,and points are now given for planners who set a specific goal towards emergency savings,replacing the previous focus on the ne-cessity of an emergency fund during onboarding.6The Robo Report&Robo RankingRobo Ranking Scores0.010.020.030.040.050.060.070.080.0Merrill EdgeGuided

33、InvestingSchwabIntelligentPortfoliosFidelity GoWealthfrontVanguardPASSoFiAutomatedInvestingBettermentEmpowerAlly InvestRoboPortfoliosUS BankAutomatedInvestorETrade CorePortfoliosSigFigWells FargoAcornsAccess to Advisors Base Tier PointsAdditional Points at Higher Service Tier(Acess to Advisors)Finan

34、cial Planning Base Tier pointsAdditional Points at Higher Service Tier(Financial Plannning)Transparency and ConflictsFeaturesCustomer ExperienceMinimumSize and TenureCostsPerformance7The Robo Report&Robo RankingRobo Ranking ScoresRobo NameAccess to AdvisorsFinancial PlanningTransparency and Conflict

35、sFeatures Customer ExperienceMinimumSize and TenureCostsPerformance TotalMerrill Guided Investing9.0015.009.004.866.382.401.0010.8321.5580.02Schwab Intelligent Portfolios8.0015.008.005.858.182.402.0011.2719.2079.90Fidelity Go7.0013.505.004.569.143.001.8012.3922.9079.29Wealthfront1.0015.006.007.606.0

36、03.002.0013.0224.3277.94Vanguard PAS8.0015.002.006.786.582.402.0013.9619.7276.43Betterment7.0013.509.009.206.373.002.0012.5010.3372.90SoFi Automated Investing9.0015.002.005.266.043.001.4015.0018.5875.27Empower8.0015.008.007.005.900.002.005.9216.3968.21Ally Invest Robo Portfolios7.0015.005.004.806.60

37、3.001.4011.9511.5566.31US Bank Automated Investor8.009.006.005.504.982.400.9212.5013.2762.56ETrade Core Portfolios8.0013.505.005.805.593.001.0012.398.1362.42SigFig9.0010.506.002.805.522.401.0012.918.6458.78Wells Fargo8.0012.004.006.005.133.001.0010.376.4855.98Acorns1.003.004.007.807.423.001.8014.877

38、.3050.20MAX10.0015.0010.0010.0010.003.002.0015.0025.00100.00 8The Robo Report&Robo RankingAccess to Advisors and PlanningAccess to Advisors Base Tier PointsAdditional Points at Higher Service Tier0.01.02.03.04.05.06.07.08.09.010.0Financial Planning Base Tier PointsAdditional Points at Higher Tier0.0

39、2.04.06.08.010.012.014.016.0Access to AdvisorsFinancial Planning9The Robo Report&Robo RankingBest Robo Advisors The Winner of Best Overall Robo,Merrill Guided Investing,offers a dual-tiered service blending a straightforward digital platform with sophisticated planning for premium clients.The winner

40、s of Best Robo for Digital Financial Planning,Empower and Wealthfront,serve as an example of simple yet effective online planning.SoFi won Best Robo for First-Time Investors because of its low fees,and its ability to manage many areas of ones financial life on a single plat-form including debt conso

41、lidation,career coach-ing,and live financial planning.Vanguard shines as the top pick for Best Robo for Complex Financial Planning,merging digi-tal tools with human insight in a budget-friendly hybrid model,ideal for nuanced financial goals.Best Overall Robo Advisor Winner:Merrill Guided Investing R

42、unner up:Schwab Intelligent Portfolios Our winner for Best Overall Robo is Merrill Guided Investing.Merrill distinguishes itself with two service levels:a digital-on-ly tier,Merrill Guided Investing,suitable for those with$1,000 or more to invest,and a hybrid tier,Merrill Guided Investing with an Ad

43、visor,designed for investors with$20,000 or more.The base tier offers a fairly standard set of features,with ac-cess to live operational support,an ESG-themed investment portfolio,and a single goal-per-account planning tool to help project future account value and the likelihood of success.Investors

44、 can access live advisors to help with more complex planning at the higher-level tier.Performance also contributed to Merrills ranking,thanks in part to its allocation to municipal bonds within its fixed income component and a preference for large-cap stocks on the equity side.This approach has plac

45、ed Merrill at the top of our rankings,achieving solid returns over 3-and 5-year periods.With its proactive management style and robust investment strategy,Merrill Guided Invest-ing is an excellent choice for investors seeking a dynam-ic portfolio management experience.Its top-ranking per-formance an

46、d extensive service offerings solidify it as the Best Overall Robo in our Robo Ranking Winter Edition.Schwab Intelligent Portfolios takes the runner-up spot for Best Overall Robo in this years Robo Ranking Winter Edition.Schwab offers a compelling mix of features at its base level,including tax loss

47、 harvesting,an ETF exclusion list,and a“retirement paycheck”feature called Intelligent Income,all accessible through an intuitive digital interface and without a management fee.The premium tier further enhances the offering with access to licensed financial advisors and Cer-tified Financial Planners

48、(CFPs),catering to clients with more sophisticated financial planning needs.Schwabs performance has been notably strong over the three-year period,particularly due to its substantial cash al-location within its robo portfolios.This strategy has been especially effective in softening the blow from ma

49、rket down-turns in 2022,underscoring the value of Schwabs conser-vative approach in challenging times.Despite the potential drag on long-term performance from the high cash allocation,Schwabs emphasis on value investing and the success of its proprietary equity ETFs have contributed to its strong pe

50、r-formance over the trailing 3-year period.Schwab Intelligent Portfolios Premium is available for investors with$25,000 or more to invest,offering a balanced and strategic approach to robo investing.10The Robo Report&Robo RankingBest Robo for Performance at a Low Cost Winner:Wealthfront Runner-up:Fi

51、delity Go The Best Robo for Performance at a Low Cost category con-tinues to highlight robo-advisors that excel in delivering out-standing quantitative metrics,particularly in terms of returns and fees.As of the end of Winter 2023,Wealthfront has main-tained its position as the top performer in this

52、 category,with Fidelity Go closely following,for the 3-year period ending December 31,2023.This period has been marked by the continued recovery from the pandemic,persistent inflation-ay pressures,excalating geopolitical tensions,and sustained periods of rising interest rates.Wealthfronts performanc

53、e was bolstered by its strategic in-vestment in the energy sector.This decision proved partic-ularly advantageous during the extended phase of high in-flation and the turmoil in energy markets precipitated by the Russian invasion of Ukraine.The energy sectors remarkable performance,with the Vanguard

54、 Energy ETF achieving an av-erage annual return of nearly 60%from the beginning of 2021 through the end of 2022,as opposed to the S&P 500s modest 2.6%annualized return in the same timeframe,underscores the sectors significant contribution to Wealthfronts success.Wealthfronts slight preference for do

55、mestic over internation-al equities compared to the average portfolio we track also played a role in its superior performance over this period.Fidelity Go,on the other hand,maintains a market-neutral stance in terms of its growth and value equity split.The ro-bo-advisors tendency to allocate a large

56、r portion of its equity portfolio to large caps,at about 75%compared to the average of 70%across all tracked robos,significantly contributed to its performance.This strategy was particularly effective as large caps emerged as the best-performing equity size cat-egory over this period.In the realm of

57、 fixed income,Fidelity Go dedicates its entire fixed income portfolio to municipal bonds,which have been among the better-performing fixed income classes over the past three years.Wealthfront also includes municipal bonds and TIPS in its fixed income allocations,both of which have shown commendable

58、performance relative to other fixed in-come classes during this timeframe.Best Robo for First-Time Investors Winner:SoFi Runner-up:Fidelity Go SoFi continues to be our top recommendation for first-time investors as of Winter 2024.The initial steps on the invest-ing path for many include addressing s

59、tudent loans or other forms of debt.SoFi provides a comprehensive platform that not only facilitates debt consolidation but also introduces users to a broad spectrum of investment tools.Beyond debt management,SoFi extends its services to include access to career coaching and live financial planning

60、sessions.An additional standout feature is SoFi Relay,a robust budgeting tool that integrates external financial accounts within SoFis ecosystem,offering a comprehensive overview of an individ-uals financial landscape.These offerings,coupled with SoFis competitive fee structure,position it as the pr

61、emier choice for newcomers to investing.Fidelity Go maintains its position as the runner-up in this cat-egory,distinguished by its blend of affordability,user-friendly digital interface,and proven long-term investment perfor-mance.The platform is particularly appealing to those begin-ning their inve

62、stment journey with modest sums,thanks to the absence of management fees on the first$25,000 invested and the allocation to no-cost Fidelity Flex funds.The Fidelity Go experience is further enriched by its mobile app,which gives you mobile access to a broad range of investments,expert insights,and t

63、ools to help you make smart investing,saving,and financial planning decisions.Additionally,the app facilitates comprehensive account and goal tracking.When combined with its solid long-term returns,largely attributed to a preference for large-cap equities,Fidelity Go emerges as an excellent starting

64、 point for first-time investors.Best Robo for Digital Financial Planning Winner:Wealthfront Runner-up:Empower The democratization of financial advice through the advent of robo advisors has been a transformative development in the financial industry.These platforms have not only made advised account

65、s broadly accessible but have also brought high-quality financial planning within reach of anyone with 11The Robo Report&Robo Rankingan internet connection and the willingness to invest in their financial strategy.Among the robos we track,the winners for offering the best digital planning tools are

66、Wealthfront and Empower(formerly known as Personal Capital),with Wealth-front leading the category.Wealthfront exemplifies the digital-first approach to finan-cial planning,negating the necessity for traditional human advisors and their associated higher fees.Its planning tool,designed for comprehen

67、sive financial management,supports a wide range of goals,including retirement,education,home purchasing,and travel.Notably,the home buying module integrates Redfin data to enhance its accuracy.Although Wealthfronts planning tool may appear more intricate than Empowers,it excels in customization,allo

68、wing users to proj-ect detailed retirement incomes and account for windfalls,real estate investments,and other intricate financial elements.This high level of customization enables users to construct elaborate financial plans tailored to their unique circumstanc-es.Additionally,Wealthfront introduce

69、d Self-Driving Money,an innovative feature that automates or semi-automates the investment of excess cash from bank accounts,seamless-ly aligning users spending and saving practices with their long-term financial objectives.Wealthfronts commitment to innovation positions its digital planner as a lea

70、ding example among robo advisors.Empower maintains a strong standing in our rankings due to its comprehensive financial planning tools.The platform en-ables users to address a broad spectrum of financial goals,such as retirement,purchasing a home,education funding,and general savings,through an arra

71、y of in-depth tools.Its retirement fee analyzer and multi-goal financial planner offer detailed analyses of expenses,future income projections,and the likelihood of achieving set goals.The planner also incor-porates debt repayment strategies alongside savings and emergency fund planning,aggregating

72、external accounts for a unified overview of monthly cash flows,net worth,and other financial metrics in a single dashboard.Empowers Investment Checkup feature further distinguishes its offerings by provid-ing personalized portfolio rebalancing advice based on the users age,risk tolerance,and investm

73、ent mix,enhancing the platforms value through its ability to analyze positions held across various accounts.Empowers robust toolset and the capability to personalize financial plans secure its position as a top choice for comprehensive financial planning.Best Robo for Complex Financial Planning Winn

74、er:Vanguard Runner-up:Empower For individuals with intricate financial planning needs,digital tools can provide significant insights,but the combination of robo-advisory services with access to live financial ad-visorsa hybrid modeloften delivers the most compre-hensive support.Vanguard remains the

75、premier choice for Best Robo for Complex Financial Planning,offering a blend of digital and human advisory services that cater to sophis-ticated financial needs.Vanguards hybrid advice model is particularly appealing for its affordability and accessibility;with a minimum investment of$50,000,clients

76、 can engage with a live financial advisor for a management fee of just 0.30%.Investors allocating$500,000 or more gain the added benefit of a dedicated advisor,all while maintaining the same competitive fee structure.This approach enables investors to intricately model multiple financial goals and m

77、anage their assets more effectively,all at a cost significantly lower than the traditional 1%fee typically levied by human advisors.Empower secures its position as the runner-up in the catego-ry,blending premier digital planning capabilities with the op-tion to consult live planners.Despite a higher

78、 entry threshold of$100,000 and a management fee of 0.89%on the first$1 million managed,Empower distinguishes itself with an array of unique offerings.Its digital platform is complemented by socially responsible investing(SRI)options,direct indexing,and,for clients investing over$5,000,000,access to

79、 alter-natives such as private equity.Furthermore,Empower in-troduced the Smart Withdrawal feature,an innovative tool designed to streamline the retirement fund withdrawal pro-cess,aiming for tax efficiency.This feature aids in navigating complex financial decisions,including tax gain harvesting and

80、 the potential benefits of a Roth conversion.Despite its higher fee,Empowers comprehensive suite of services and tools positions it as a top-tier choice for those seeking robust support in complex financial planning.12The Robo Report&Robo RankingRobo Ranking FactsRobo Name3-Year Annualized Return3-Y

81、ear Return Above/Below Normalized Benchmark3-Year Sharpe RatioAccount MinimumAdvisory FeeWeighted Average Expense RatioAcorns 11.75%-1.15%-0.04No minimum$3/month for Personal;$5/month for Personal Plus;$9/month for Premium0.04%Ally Invest Robo Portfolios92.47%-0.25%0.03$1000.30%annually;Also offers

82、cash-enhanced portfolio with 30%invested in cash and no management fee0.06%Betterment272.55%-0.64%0.03Digital:No minimum;Premium:$100,000$4/month or 0.25%annually with$20,000 in platform assets or$250 monthly deposits;additional 0.15%annual fee for Premium0.09%E*Trade Core212.02%-1.06%-0.01$5000.30%

83、annually0.05%Fidelity Go334.36%1.55%0.21$10 minimum;access to live advisors requires a$25,000 minimumNo Advisory fee on account balances under$25,000;0.35%on accounts with balances over$25,0000.00%Merrill Guided Investing314.12%1.20%0.18Guided Investing:$1,000;Guided Investing with an Advisor:$20,00

84、0Guided Investing:0.45%annually(digital only);Guided Investing with an Advisor:0.85%annually0.05%Empower(Personal Capital)43.91%-0.05%0.14$100,0000.89%annually;discounted tiered pricing at higher asset levels0.08%13The Robo Report&Robo RankingRobo Name3-Year Annualized Return3-Year Return Above/Belo

85、w Normalized Benchmark3-Year Sharpe RatioAccount MinimumAdvisory FeeWeighted Average Expense RatioSchwab Intelligent Portfolios53.47%0.89%0.13Intelligent Portfolios:$5,000;Intelligent Portfolios Premium:$25,000Intelligent Portfolios:No fee(digital only);Intelligent Portfolios Premium:$300 initial pl

86、anning fee,$30/month subscription0.17%SigFig62.08%-0.83%-0.01$2,000No fee for the first$10k;0.25%annually for balance over$10k0.05%SoFi173.59%0.68%0.13$1No management fee0.03%US Bank Automated Investor282.60%0.14%0.04$1,0000.24%annually 0.10%Vanguard Digital and Personal Advisor433.68%0.83%0.15Vangu

87、ard Personal Advisor Services:$50,000;Vanguard Digital Advisor:$3,000Vanguard Personal Advisor Services 0.30%annually.Vanguard Digital Advisor combined underlying fund fees and management fees capped at 0.20%0.07%Wealthfront(Risk 4.0;2016)445.18%2.17%0.27$500,some additional portfolio features requi

88、re a higher minimum0.25%annually0.04%Wells Fargo Intuitive Investor141.47%-1.48%-0.06$5000.35%annually;discounted relationship pricing may be available0.13%14The Robo Report&Robo Ranking1-Year Top Performers Best2nd3rdTotal PortfolioSoFiUS Bank Automated InvestorStash Smart PortfolioEquityStast Smar

89、t PortfolioUS Bank Automated InvestorSoFiFixed IncomeWells Fargo Intuitive InvestorUBS Advice AdvantageEmpower3-Year Top PerformersBest2nd3rdTotal PortfolioSchwab Domestic FocusWealthfront(Risk 4.0;2016)Zacks AdvantageEquityWealthfront(Risk 4.0;2016)Schwab Domestic FocusZacks AdvantageFixed IncomeZa

90、cks AdvantageFidelity GoVanguard PAS5-Year Top PerformersBest2nd3rdTotal PortfolioWealthfront(Risk 4.0;2016)Fidelity GoZacks AdvantageEquityZacks AdvantageAcornsWealthfront(Risk 4.0;2016)Fixed IncomeUS Bank Automated InvestorSchwab Intelligent PortfoliosEmpowerRobo Report Top PerformersTotal Portfol

91、io winners are based on the portfolios return vs.the Normalized Benchmark.Returns are net of fees and are as of 12/31/2023.15The Robo Report&Robo RankingPerformance Commentary SoFi,US Bank,and Stash excelled in one-year performance,benefiting from their focus on growth stocks and domestic equities,a

92、ligning with the markets preference for growth over value.Over three years,Schwab Domestic Focus,Wealthfront,and Zacks Advantage led with their U.S.equity allocations,showcasing the value of domestic exposure in a tough global market.In the trailing five years,Wealthfront,Fidelity Go,and Zacks stood

93、 out due to large-cap U.S.equities.The past five years in fixed income emphasized the benefit of duration management and municipal bonds.BackdropDomestic equities advanced in the fourth quarter of 2023,with the S&P 500 Index rising by 11.68%to cap off a strong year-end rally that saw the S&P 500 gai

94、n 26.26%in 2023.The main driver of the quarters positive performance was a shift from the Federal Reserves hawkish stance on monetary policy to a more accommodative stance after fourth-quarter inflation data showed continued progress in bringing prices back toward the Federal Reserves target goal.Th

95、e Federal Reserves signaling of rate cuts in 2024 resulted in a sharp rally in Treasuries and a subsequent decline in interest rates.The 10-year U.S.Treasury yield peaked to near 5%in Octo-ber and quickly retreated,ending the year below 4%.Equity markets rallied while the dollar weakened,leading to

96、a risk-on environment to cap off 2023.Falling energy prices helped to further ease inflation due to weakening demand amid global growth concerns.Technology significantly outperformed over 2023 driven by an Artificial Intelligence(AI)frenzy,but the rally broadened out to end the year,bolstered by a r

97、ally in financial services and healthcare in the fourth quarter.International equities participated in the global risk asset rally to finish 2023.Still,they fared slightly worse than their do-mestic counterparts,as the MSCI EAFE Index posted a 10.47%gain in the fourth quarter.China was a drag on eme

98、rging markets as its economy continued to face weak demand,high youth unemployment,and a material decline in foreign direct investment.Chinas economic problems have resulted in a tempered outlook for global growth.After strengthening ear-lier in the year,the U.S.dollar weakened against most major cu

99、rrencies,reflecting expectations of easier monetary policy.Fixed-income markets rallied as bond prices rose,and yields fell due to improved inflation data and a dovish-sounding Fed to close out 2023.Yields sharply declined in the quarter,and both investment-grade and high-yield credit rallied,result

100、ing in tightening credit spreads.The Bloomberg U.S.Aggregate Bond Index rose by 6.82%in Q4,and corporate bonds out-performed government bonds.International and emerging market debt performed worse than domestic bonds,as higher U.S.interest rates and the strong dollar reduced the relative attractiven

101、ess of foreign bonds.Growth Fuels One-Year Performance for SoFi,US Bank,and Stash SoFi,US Bank Automated Investor,and Stash Smart Portfolio have distinguished themselves as the leading one-year per-formers in terms of total portfolio performance when com-pared against their Normalized Benchmark.This

102、 methodology assesses each robo advisors returns against a benchmark of comparable asset allocation.Growth stocks were a key driver of returns during the year.Notably,this year,the Rus-sell 3000 Growth index posted a return of 41.20%,compared to the Russell 3000 Value indexs return of 11.61%.SoFi,US

103、 Bank,and Stash all maintained allocations to growth that were 16The Robo Report&Robo Rankinghigher than average,reinforcing the ongoing trend of growth being a key factor in driving returns.SoFis portfolio includes the SoFi Next 500 and SoFi Select 500 ETFs,both track-ing growth-oriented indices.Ad

104、ditionally,both SoFi and US Banks above-average allocations to domestic equities have been a key factor in their performance,as illustrated by the S&P 500s 26.26%return outpacing the MSCI EAFE Indexs 18.95%return for the year.On the fixed income side,high-yield bonds have outper-formed investment-gr

105、ade bonds over the past year.The Bloomberg US Corporate High Yield Bond Index returned 13.45%,compared to the Bloomberg US Agg Total Return Indexs return of 5.53%.Wells Fargo Intuitive Investor,with its notable exposure to high-yield bonds,emerged as a top performer in the fixed-income category for

106、the trailing one year.A significant part of its portfolio,6.59%,was invested in the iShares Broad U.S.High Yield Corp Bond ETF(USHY),its top-performing fixed income holding,which saw a 12.71%gain over the year.Empower also had a notable high-yield investment,the iShares 0-5 Year High Yield Corp ETF,

107、its best-performing fixed-income holding with a return of 10.38%,contributing to its overall performance.Domestic Allocations Propel Schwab Domestic Focus,Wealthfront,and Zacks Advantage in Three-Year Performance Over the past three years,Schwab Domestic Focus,Wealth-front(2016 vintage),and Zacks Ad

108、vantage have been leading in performance.A major factor in this success has been their allocations to U.S.equities,as evidenced by the S&P 500s annualized return of 10.00%.This performance is contrasted with the MSCI EAFE Indexs annualized return of 4.64%and the MSCI Emerging Markets Indexs annualiz

109、ed loss of 4.80%,underscoring the benefits of domestic market exposure.Zacks Advantage stands out with the highest domestic allo-cation at 82%.In comparison,both Schwab Domestic Focus and Wealthfront maintain above-average domestic holdings at 76%and 73%,respectively,compared to the average 67%domes

110、tic allocation among our robo accounts.While allocations towards value stocks have generally boost-ed the returns of robo advisors in this group,the recent surge in growth stocks has started to diminish the impact of these value allocations.Over the last three years,the Russell 3000 Value index has

111、yielded an annualized return of 8.78%,slightly ahead of the Russell 3000 Growth indexs return of 8.08%.Schwab Domestic Focus,in particular,has one of the highest allocations to value,primarily due to its investments in Schwab Fundamental ETFs.These funds focus on fundamental market measures and typi

112、cally favor value stocks.In the realm of fixed income,Zacks Advantage,Fidelity Go,and Vanguard PAS have emerged as the front runners.The portfolios of all three are heavily weighted towards municipal bonds.This strategy has proven beneficial,as highlighted by the Bloomberg AMT-Free National Municipa

113、l Indexs minor annualized loss of 0.24%over three years,compared to the Bloomberg US Agg Indexs more substantial annualized loss of 3.32%for the same period.Domestic Equity Exposure and Duration Management Drive Five-Year Performance for Wealthfront,Fidelity Go,and Zacks Advantage The standout perfo

114、rmers in the past five years were Wealth-front(2016),Fidelity Go,and Zacks.Wealthfront and Fidelity Go consistently favored investments in large-cap equities.This strategy proved advantageous,as evidenced by the impressive gains from a strategy focused on U.S.markets during this period.This is illus

115、trated by the S&P 500s five-year annualized return of 15.68%,significantly outpacing the MSCI EAFEs return of 8.80%.The comparison between growth and value allocations was a key factor in the long-term equity performance.Despite the resurgence of value in 2022,growth investments maintained a signifi

116、cant lead.Over five years,the Russell 3000 Growth Index achieved an annualized return of 18.85%,well ahead of the Russell 3000 Value Indexs annualized return of 10.82%.Zacks Advantage enhanced its five-year results by allocating from the SPDR S&P 500 ETF to the Vanguard Russell 1000 Growth ETF,a mov

117、e that leveraged the prevailing growth trend,particularly in 2021.As previously noted,Wealthfront continues to benefit from its prior bet on energy through its investment in the Vanguard Energy ETF(VDE),which contributed an annualized 32.95%in performance for the portfolio over the last five years.T

118、his return reflects the strong returns in energy over the period and 17The Robo Report&Robo Rankingexceptional market timing,as the portfolio made a purchase in April 2020 and sold a portion of it in July 2022.In the fixed-income arena,US Bank Automated Investor,Schwab,and Empower led the pack.US Ba

119、nk and Schwab consistently maintained high allocations to municipal bonds,which generally outperformed corporate bonds during the period.However,recent trends indicate a shift,with the Bloomberg US Corporate Total Return Index recently out-performing the Bloomberg AMT-Free National Municipal Total R

120、eturn Index.Consequently,future outperformance in bond portfolios for the next five-year period may rely less on mu-nicipal bond allocations.The last five years have been tumultuous for fixed income,marked by the Federal Funds rate dropping to zero before rapidly climbing to between 5.25%and 5.50%.T

121、his fluctuation highlighted the significance of duration in bond portfolios.US Bank and Schwab maintained an average duration by the end of the period.At the same time,Empower adjusted its strat-egy,extending its duration from 4.73 at the end of the third quarter to 6.19 by the end of the fourth qua

122、rter.This move resulted from the portfolio reducing its weights in Vanguard Intermediate-Term Govt Bond ETF and Vanguard Short-Term Bond ETF while initiating a position in Vanguard Long-Term Treasury ETF.Long-dated bonds outperformed short-term bonds in the fourth quarter of 2023,as expectations tha

123、t inflation and interest rates have peaked favored longer-du-ration bonds,which are more sensitive to such changes.This trend is evident in the Bloomberg Long Term U.S.Treasury Total Return Indexs 12.70%return over the past quarter,far exceeding the Bloomberg Short-term Treasury Total Return Indexs

124、return of 1.54%.18The Robo Report&Robo RankingTotal Portfolio Performance0%2%4%6%8%10%12%14%16%AcornsAlly Invest Robo PortfoliosAxos InvestBettermentBetterment Broad Impact SRIE*Trade CoreE*Trade Core SRIEllevestFidelity GoInteractive AdvisorsMarcus Invest CoreMarcus Invest SRIMerrill Guided Investi

125、ngMerrill Guided Investing SRIEmpower(Personal Capital)Schwab Intelligent PortfoliosSchwab Domestic FocusSigFigSoFiStash Smart PortfolioTD Ameritrade Automated InvestingTD Ameritrade SRIUBS Advice AdvantageUS Bank Automated InvestorVanguard Digital AdvisorVanguard P.A.S.Wealthfront(Risk 4.0;2016)Wea

126、lthfront(Risk 4.0;2018)Wells Fargo Intuitive InvestorZacks Advantage1-Year3-Year5-Year19The Robo Report&Robo RankingTerms of Use(Terms)Last updated:03/31/2023Please read these Terms of Use(“Terms”,“Terms of Use”)carefully before subscribing to the Robo Report and the Robo Ranking(“Our Research”,“Re-

127、search”)distributed by Condor Capital Wealth Management(“The Company”)through the website https:/ access to and use of Our Research is conditioned on your acceptance of and compliance with the Terms.These Terms apply to all subscribers and others who access or use Our Research.The Company reserves t

128、he right to change these terms at any time without notice.By continuing to subscribe to Our Research,you agree to abide by them.Our Research focuses on digital services providing automated investment advice(“Robo”,“Robos”).A“Covered Robo”is any Robo for which the Company publishes historical return

129、data in Our Research.Our Research is copyrighted and owned by the Company.Use of Our Research for commercial purposes is strictly prohibited without written consent or a license,except for Covered Robos who wish to use Our Research for marketing purposes,subject to the following requirements:If mate

130、rials,insights,facts,data or other information from Our Research is used,Our Research must be cited as the source and it must be stated Our Research is produced by The Robo Report.To avoid misrepresentation,the name or time period of Our Research cited must be stated.For example,if the information u

131、sed is performance from the First Quarter 2018 the Robo Report,it must be clearly stated that the performance is from the first quarter report,or performance numbers are from the time period ending 03/31/2018.The Company does not permit the redistribution of Our Research.We welcome and encourage inc

132、luding a link to our Website in any articles or other materials.We provide the report for free to anyone who wants to subscribe.Attaching,hosting for download,or including a link that allows a user to directly access Our Research is prohibited.The appropriate link for our Website to use is:https:/ m

133、ust use the most recent version of Our Research at the time of publishing.The most recent version of Our Research and the date it was pub-lished are on https:/ newest version can be obtained by filling out the subscription form on the Website or by contacting the Company directly.Failure to comply w

134、ith the aforementioned guidelines may result in a takedown notice,revocation of your subscription to Our Research,and/or legal action.To request written consent or a license,contact The Company at or call 732-893-8290 and ask for David Goldstone.Disclaimer of Warranties:Our Research is provided“as i

135、s”;with all faults.The Company disclaims all warranties of any kind regarding the Research,either express or im-plied,including but not limited to,any implied warranty of merchantability,fitness for a particular purpose,ownership,noninfringement,accuracy of informational content,and absence of virus

136、es and damaging or disabling code.The Company does not warrant the accuracy,completeness,or timeliness of the Research.The Company shall not be responsible for investment decisions,damages,or other losses resulting from use of Our Research.Past performance does not guarantee future performance.The C

137、ompany shall not be considered an“expert”under the Securities Act of 1933.The Company does not warrant that this service complies with the requirements of the FINRA or any similar organization or with the securities laws of any jurisdiction.”Some jurisdictions do not allow the exclusion or limitatio

138、n of implied warranties,so the above exclusions or limitations may not apply.20The Robo Report&Robo RankingDisclosures1 These accounts were funded with more than the minimum amount required to establish an account.Had the accounts been funded with more assets,they would be charged a flat dollar fee

139、up to$1,000,000.Because the fee is a flat dollar amount,a higher account balance would have the result of increasing reflected performance,while a lower account balance would have the result of decreasing reflected performance.In December of 2018,a$1 fee was not recorded.Performance has been updated

140、 to include this fee as of Q1 2019.2 This account has no minimum required to establish an account,but had the account been funded with more assets,it would,at certain asset levels,be eligible for a lower advisory fee.The lower advisory fee would have the result of increasing reflected performance.3

141、These accounts were funded with more than the minimum amount required to establish an account.There is no fee schedule;all accounts are charged the same asset-based fee.Therefore,performance is not affected by the accounts asset level.4 This account was funded with the minimum or more than the minim

142、um amount required to establish an account at the time of opening.Had the account been funded with more assets it would,at certain asset levels,be eligible for a lower advisory fee.The lower advisory fee would have the result of in-creasing reflected performance.5 This account was funded with more t

143、han the minimum in order to take advantage of tax-loss harvesting.Tax-loss harvesting may result in better or worse performance compared to similarly positioned accounts that are not enrolled in tax-loss harvesting.This account is enrolled in their digital-only“Intelligent Portfolios”,thus it is not

144、 charged an advisory fee.If one were to upgrade to“Intelligent Advisory”which introduces access to live advisors,a subscription fee would be levied,which would decrease reflected performance.6 These accounts were funded with the minimum amount required to establish an account.At balances less than$1

145、0,000,there is no advisory fee.Had the account been funded with$10,000 or more,an asset-based advisory fee would be levied,which would decrease reflected performance.7 These accounts were funded with the minimum amount required to establish an account at the time of opening.There is no fee schedule;

146、all accounts are charged the same asset-based fee.Therefore,performance is not affected by the accounts asset level.8 These accounts have no minimum required to establish an account.Prior to the Axos and Wisebanyan acquisition and integration,this account was not charged a management fee.Had additio

147、nal service packages,such as tax-loss harvesting,been added,the lesser of an asset-based fee or flat dollar fee would have been assessed.These fees would have decreased the reflected performance.Currently,this account is charged a 0.24%management fee.In August of 2021,there was a reporting issue wit

148、h this provider.The issue has been resolved but the resolution effectively caused a rebalance of the account on 09/30/2021.9 This account was funded with the minimum investment amount at the time.At the time of opening,the account had a 0.25%management fee.Due to changes in the service at the end of

149、 the 1st quarter of 2017,new accounts are charged a 0.30%management fee.The fee on our account was grandfa-thered in and remains at 0.25%.The higher advisory fee would have the result of decreasing reflected performance.10 These accounts were funded with the minimum amount required to establish an a

150、ccount.This account is enrolled in their digital-only“Essential Portfolios”and is charged an asset-based advisory fee.If one were to upgrade to“Selective Portfolios”which introduces access to live advisors,a higher asset-based advisory fee schedule would apply,which would decrease reflected performa

151、nce.“Essential Portfolios”does not appear to be available to new clients,likely due to the pending Schwab and TD Ameritrade integration.These accounts are grandfathered into the“Essential Portfolios”program and are charged a 0.30%annual asset-based management fee.11 This account has no minimum requi

152、red to establish an account,but had the account been funded with more assets,it would,at certain asset levels,be eligible for a lower advisory fee.The lower advisory fee would have the result of increasing reflected performance.A special request was made for an allocation of 60%equities and 40%fixed

153、 income or close to it,but this allocation was not one of the standard models at the time of account opening.At the time of account opening the closest standard models offered were in the range of 50/50 or 75/25 equity to fixed income split.12 These accounts were funded with more than the minimum am

154、ount required to establish an account.Due to the asset-based advisory fee,performance is not affected by the accounts asset levels.In previous reports,we reported the performance of two accounts that were combined to achieve a 60/40 allocation.Due to our introduction of Normalized Benchmarking we ar

155、e no longer reporting the combined account,but just the account with the closest to a 60/40 allocation as we could achieve at this provider.13 These accounts were funded with less than the minimum investment through an agreement between The Robo Report and the provider.There is no advisory fee levie

156、d regardless of the amount of assets invested.14 This account was funded with the minimum amount required to establish an account.A flat,asset-based advisory fee is levied on the account.Had we subscribed to additional,specific,provider products the account would be eligible for a lower asset-based

157、advisory fee.A lower advisory fee would have the result of increasing reflected performance.21The Robo Report&Robo Ranking15 This account has no minimum required to establish an account and is enrolled in the Digital Only plan.If the account was enrolled in the premium service with access to live ad

158、visors,there would be a higher asset-based advisory fee.The higher advisory fee would have the result of decreasing reflected performance.16 This account is enrolled in the Self Service plan.If the account was enrolled in the Full Service Plan,the fee would be higher or lower depending on the level

159、of assets in the account.The higher/lower advisory fee would have the result of decreasing/increasing reflected performance.Recently,this provider changed its fee schedule,but our account was grandfathered in at the previous,lower fee for the size of the account.New accounts would be subject to the

160、new fee schedule,which would decrease reflected performance at most account size levels.17 This account was funded with more than the minimum amount required to establish an account.This account will not be charged an advisory fee through 2019.In previous reports,we reported the performance of two a

161、ccounts that were combined to achieve a 60/40 allocation.Due to our introduction of Normalized Benchmarking we are no longer reporting the combined account,but only the account with the closest to a 60/40 allocation as we could achieve at this provider.18 This account was funded with more than the m

162、inimum amount required to establish an account.This account will not be charged an advisory fee through 2019.20 This account was funded with the minimum required to establish an account.This account is enrolled in their digital-only“Intelligent Portfolios”,thus it is not charged an advisory fee.If o

163、ne were to upgrade to“Intelligent Advisory”which introduces access to live advisors,a subscription fee would be levied,which would decrease reflected performance.21 These accounts were funded with more than the minimum amount required to establish an account.There is no fee schedule;all accounts are

164、 charged the same asset-based fee.Therefore,performance is not affected by the accounts asset level.The fee was waived for the first year.Had a fee been levied,reflected performance would have been lower.22 These accounts were funded with more than the minimum amount required to establish an account

165、.There is currently no fee schedule;all accounts are charged the same asset-based fee.Therefore,performance is not affected by the accounts asset level.Previously,the fee was only assessed on balances in excess of$10,000.23 These accounts were funded with the minimum amount required to establish an

166、account.There is no fee schedule;all accounts are charged the same asset-based fee.Therefore,performance is not affected by the accounts asset level.The fee was waived for an initial promotional period.Had a fee been levied,reflected performance would have been lower.24 Interactive Advisors is regis

167、tered as an advisor under the name of Covestor Ltd.and is part of the Interactive Brokers Group.This account was funded with the minimum required to open an account and is invested in their Asset Allocation portfolio.It is charged an asset-based fee.There is no fee schedule on this account;therefore

168、 performance is not affected by the accounts asset levels.Previously,the account was charged a lower asset-based fee;the increase took effect starting March 2019.Interactive Advisors offers multiple strategies with different sets of fees,including Smart Beta,index-tracking and model ETF portfolios,i

169、n addition to the Asset Allocation portfolios.Interactive Advisors also offers a marketplace for actively managed portfolios for which it charges higher fees(0.08-1.5%),part of which it remits to the portfolio managers supplying the data underlying those strategies.25 Originally,there was no advisor

170、y fee on these accounts.Had additional service packages,such as tax-loss harvesting,been added,the lesser of an asset-based fee or flat dollar fee would have been assessed.In June 2018,one package was activated,resulting in a fee on these accounts.This fee de-creases the reflected performance.26 Thi

171、s account was enrolled in Prudentials Strategic Portfolios.It was funded with the minimum required to open an account.Had the account been funded with more assets it would,at certain asset levels,be eligible for a lower advisory fee.The lower advisory fee would have the result of increasing reflect-

172、ed performance.Prudential also offers Reserve Portfolios for short-term investing,which have a lower account minimum and fee.However,the Reserve Portfolios do not allow asset-allocation customization based on individual demographic and risk tolerance.27 This account has no minimum required to establ

173、ish an account and is enrolled in the Digital Only plan.If more was invested,the account would be as-sessed a lower asset-based fee,which would increase reflected performance.If the account was enrolled in the premium service with access to live advi-sors,there would be a higher asset-based advisory

174、 fee.The higher advisory fee would have the result of decreasing reflected performance.All balances above$2 million are charged a lower asset-based advisory fee.A lower advisory fee would have the result of increasing reflected performance.The 2018 end-of-year statement for Betterment did not includ

175、e dividends received near the end of 2018,these dividends first appeared on the March 31st,2019 statement.These dividends are reflected as of the Q1 2019 Robo Report but were not reflected in performance reported in the Q4 2018 Robo Report.In Q2 2020 a dividend was misattributed to the cash asset cl

176、ass instead of income causing the equity performance of the main Betterment account to be slightly underrepresented.28 These accounts were funded with the minimum amount required to establish an account.There is no fee schedule;all accounts are charged the same asset-based fee.Therefore,performance

177、is not affected by the accounts asset level.The fee was waived for an initial promotional period.Had a fee been levied,reflected performance would have been lower.As of March 27,2019,the management fee has been lowered.The lower advisory fee will increase reflected performance.22The Robo Report&Robo

178、 Ranking29 This account was funded with the minimum or more than the minimum amount required to establish an account at the time of opening.Had the account been funded with more assets it would,at certain asset levels,be eligible for a lower advisory fee.The lower advisory fee would have the result

179、of increas-ing reflected performance.After opening,this provider changed its fee schedule,raising the fee for the asset level of the account,but our account was grandfathered in at the previous,lower fee.New accounts would be subject to the new fee schedule,which may change reflected performance.30

180、These accounts were funded with more than the minimum amount required to establish an account.The account is charged a flat dollar fee subscription at its service level.Had the accounts been enrolled in different service packages,they could be assessed a higher subscription fee.Because the fee is a

181、flat dollar amount,a higher account balance would have the result of increasing reflected performance,while a lower account balance would have the result of decreasing reflected performance.31 These accounts were funded with the minimum amount required to establish an account at the time of opening.

182、This account is enrolled in their digi-tal-only“Guided Investing”and is charged an asset-based advisory fee.If one were to upgrade to“Guided Investing with an Advisor”which introduces access to live advisors,a higher asset-based advisory fee schedule would apply,which would decrease reflected perfor

183、mance.32 This account has no minimum required to establish an account and is enrolled in the Digital Only plan.If the account was enrolled in the premium service with access to live advisors,there would be a higher asset-based advisory fee.The higher advisory fee would have the result of decreasing

184、reflected per-formance.All balances above$2 million are charged a lower asset-based advisory fee.A lower advisory fee would have the result of increasing reflected performance.33 This account has no minimum required to establish an account and is enrolled in the Digital Only plan.If the account was

185、enrolled in the premium service with access to live advisors,there would be a higher asset-based advisory fee.The higher advisory fee would have the result of decreasing reflected per-formance.Prior to August 2020,this account was assessed a 0.35%annual management fee As of August 2020,the provider

186、changed the fee structure such that accounts under$10,000 are not charged a management fee.Our account is under this threshold and will therefore not be charged a management fee starting in August of 2020.This will have the result of increasing reflected performance.34 This account was funded with m

187、ore than the minimum required to establish an account,There is no management fee levied.Therefore,performance is not affected by the accounts asset level.This platform has numerous different portfolio strategies.We chose the“moderately aggressive”strategy.Dif-ferent portfolio strategies have differe

188、nt allocations which could increase or decrease reflected performance.35 These accounts were funded with the minimum amount required to establish an account.This account is enrolled in their“Selective Portfolios”and is charged an asset-based advisory fee.These specific portfolios are only offered at

189、 the“Selective Portfolios”level,which charges a higher asset-based advisory fee due to access to live advisors than the“Essential Portfolios.”Additionally,these portfolios may hold balanced funds.Due to the nature of these funds and limits in our portfolio management system,we cannot accurately trac

190、k equity and fixed income performance individually at the portfolio level for portfolios with balanced fund holdings.Total portfolio performance is unaffected by holding balanced funds.36 These accounts were funded with more than the minimum amount required to establish an account.There is no fee sc

191、hedule;all accounts are charged the same asset-based fee.Therefore,performance is not affected by the accounts asset level.This platform has numerous different portfolio strategies.We chose the“60/40 classic”option.Different portfolio strategies have different allocations which could increase or dec

192、rease reflected performance.37 These accounts were funded with the minimum amount required to establish an account.This account is enrolled in their“Selective Portfolios”and is charged an asset-based advisory fee.These specific portfolios are only offered at the“Selective Portfolios”level,which char

193、ges a higher asset-based advisory fee due to access to live advisors than the“Essential Portfolios.”38 These accounts were opened when the provider charged 0.25%annual management fee.Recently,the fee structure changed to be a flat monthly fee.However,our account was grandfathered into the old fee st

194、ructure.This change may have the result of increasing/decreasing reflected performance based on account size.39 This account charges a 0.15%annual management fee and caps the underlying fund fees at 0.05%so that the all-in fee never exceeds 0.20%annually.The same fee is charged at all asset levels.4

195、0 This account charges 0.55%annually.However,those with a Citi Gold or Priority account(required balances of$50,000 and$200,000 respectively)will not be charged a management fee,which would increase reflected performance.41 This account is enrolled in the“Standard”pricing plan for$120 a year which i

196、s paid by an outside bank account.This account was opened with a$5,000 initial deposit.We assess the fee on the account as though it was opened with a$50,000 initial deposit.We assess a$1 monthly,$12 a year,management fee on this account.A flat dollar fee pricing structure means the level of assets

197、in the account will affect net-of-fee performance.42 These accounts were funded with more than the minimum amount required to establish an account.The account is charged a flat dollar fee subscription.Because the fee is a flat dollar amount,a higher account balance would have the result of increasin

198、g reflected performance,while a lower account balance would have the result of decreasing reflected performance.43 This account was funded with the minimum or more than the minimum amount required to establish an account at the time of opening.Had the account been funded with more assets it would,at

199、 certain asset levels,be eligible for a lower advisory fee.The lower advisory fee would have the result of in-23The Robo Report&Robo Rankingcreasing reflected performance.On June 19th,2017,Vanguard removed the Robo Reports primary Vanguard account from the Vanguard Personal Advisor Services program.

200、As of June 20th,2017,the primary account was replaced by a secondary account with the same risk profile as the primary account.The returns for the secondary account have been linked to the original primary account.Asset type and allocation between the two accounts at the time of the switch were very

201、 close but not identical.44 These accounts were funded with more than the minimum amount required to establish an account.There is currently no fee schedule;all accounts are charged the same asset-based fee.Therefore,performance is not affected by the accounts asset level.Previously,the fee was only

202、 assessed on balances in excess of$10,000.In the 1st Quarter of 2018 Wealthfront liquidated the positions in the account used for the 4th Quarter 2017 and previous editions of this report.A different account was used for this report and is labeled“Wealthfront(Risk 4.0)”.The performance numbers from

203、the previous account are available in the addendum labeled as“Wealthfront(Risk 3.0)”.The risk scores and thus allocations of the two accounts are different and labeled as such.Asset type and allocation between the two accounts at the time of the switch were close but not identical.The difference in

204、equity allocation between the accounts on 12/31/2017 was approximately 5.4%.45 These accounts were funded with the minimum amount required to establish an account.This account is enrolled in their digital-only“Essential Portfolios”and is charged an asset-based advisory fee.If one were to upgrade to“

205、Selective Portfolios”which introduces access to live advisors,a higher asset-based advisory fee schedule would apply,which would decrease reflected performance.Due to the down market in December 2018,this account engaged in repeated tax-loss harvesting on one of its asset types.All alternative secur

206、ities were exhausted for this asset type,so to prevent a wash sale,the entire position,representing approximately 31%of the portfolio,was liquidated and held as cash for a 1 month period,during which time the market experienced a large upswing.Because this portfolio missed the market upswing,its per

207、formance versus the normalized benchmark is lower.In previous reports,the initial target asset allocation was calculated as the asset allocation at the end of the first month after the account was opened.In the Q3 2018 report,we adjusted our method to calculate the initial target asset allocation as

208、 of the end of the trading day after all initial trades were placed in the accounts.This adjustment has caused some portfolios initial target allocation to be updated from previous reports.These updates did not change any initial target allocations of equity,fixed income,cash,or other by more than 1

209、%.Prior to Q3 2018,due to technological limitations of our portfolio management system,some accounts which contained fractional shares had misstated the quantity of shares when transactions quantities were smaller than 1/1000th of a share in a position as a result of purchases,sales,or dividend rein

210、-vestments.This had a marginal effect on the historical performance of the accounts.The rounding of position quantities caused by this limitation has been resolved,and quantities have been adjusted to reflect the full position to the 1/1,000,000th of a share as of the end of Q3 2018.Therefore,this r

211、ounding of fractional shares will not be necessary in the future.At certain custodians,a combination of the custodian providing us a limited number of digits on fractional share and fractional cent transactions rounding errors are introduced into our tracking.At quarter-end starting 3/31/2020,we imp

212、lemented a process to enter small transactions to eliminate any rounding errors that have built up to more than a full cent.These transactions are small and do not have an appreciable effect on performance.Sharpe ratios and Standard Deviation calculations are calculated with the assumption of 252 tr

213、ading days in a year.This report represents Condor Capital Wealth Managements research,analysis and opinion only;the period tested was short in duration and may not provide a meaningful analysis;and,there can be no assurance that the performance trend demonstrated by Robos vs indices during the shor

214、t period will continue.A copy of Condors Disclosure Brochure is available at .Condor Capital holds a position in Schwab and Goldman Sachs in one of the strategies used in many of their discretionary accounts.As of 12/31/2023,the total size of the position was 66,485 shares of Schwab com-mon stock an

215、d 5,941 shares of Goldman Sachs common stock.As of 12/31/2023,accounts discretionarily managed by Condor Capital Management held bonds issued by the following companies:Morgan Stanley,Bank of America,Goldman Sachs,Wells Fargo,E*Trade,Citi Group,Citizens Financial Group,Ally Financial,Charles Schwab,and Capital One.For more information,please contact us at .Connect with us at: