Investors can receive a personalized plan to help them reach their retirement goals using varying allocations of Vanguards ETFs.
What Is Vanguard Digital Advisor and How Does it Work?
This Vanguard funds product is an offshoot of another investment management service called Vanguard Personal Advisor Services.
If youre not an existing client, then youll need to create a new account.
Otherwise, external accounts will be accounted for in spending projections but Vanguard wont manage them.
No Interest Til Almost 2027?
Vanguards algorithms will monitor your account daily to ensure the allocations are at the desired percentages.
You will be advised to either pay off debt or use it to invest toward a goal.
To do so, youll need to enroll in both Vanguard brokerage accounts and participant accounts.
These allocations are based on fairly straightforward goals.
Vanguard Digital Advisor monitors portfolios daily and automatically rebalances if any asset allocation deviates by more than 5%.
Rebalancing may also happen if theres excess cash holdings.
It involves selling units of securities that have the greatest loss during each sale.
Thats available from 8 a.m. to 8 p.m., ET Monday through Friday.
Is Vanguard Digital Advisor Right for You?
Frequently Asked Questions (FAQs)
Vanguard Digital Advisor doesnt offer tax loss harvesting to its clients.
That is to say, there is no set time when the brokerage will rebalance your account.
She is the host of the Buzzsprout and Beyond the Dollar podcasts.
