Robo-advisors offer automated investing services at a low cost — here's how to tell if they're right for you Summary List Placement Robo-advisors are automated trading and investing platforms used to build and maintain financial portfolios. When first launched to the public in 2008, they were touted as a tool to bring professional money management to the masses. Robo-advisors have grown in popularity largely because they offer users a simple and cost-effective way of investing, avoiding the need to deal with — and pay — human professionals (though they may supplement their services with live advisors). While many of the services are overtly branded to appeal to a younger generation, research by Deutsche Bank indicates that robo-advisor clients are on average in their mid-40s. With their low fees and deposit minimums, robo-advisors have opened up savings and investments to a new realm of investors — and can work for the more experienced as well. But are they right for you? Let's take a deeper dive. What is robo-advisor? Armed with artificial intelligence (AI), robo-advisors automate the process of selecting and managing investment portfolios, using algorithms and modern portfolio theory (MPT) to pick and maintain a balance of assets suited to each customer.