Investments “automatic”: what can a Robo-adviser from Sberbank

Sberbank has launched a robot-adviser to manage the assets of the service “Simple investments”, developed in conjunction with FinEx. What is interesting about this new product and whether it is likely to make life easier for the private investor?

Sberbank together with the company FinEx has launched an online service “Simple investing” — the concept of financial Advisor (Robo-Advisor), to be able to match investment assets to the client and to manage his portfolio. The platform was launched on may 16. While it is available in the form of a website (in versions for a desktop computer and a smartphone), but soon the developers plan to release apps for devices based on iOS and Android.

In comments to RBC by the press service of Sberbank said that currently, the service is tested on a small sample of users and in future it will be refined based on feedback from customers. However, according to FinEx, Robo-advisors are already operating at full strength, and use it can not only clients of the savings Bank, and third-party private investors.

What can a robot

As the press service of the company FinEx responsible for the development of this service, the platform is able to determine customer needs and its risk appetite, to form the basis of these data the investment portfolio, and regularly hold in this rebalancing by buying and selling securities. The role of the investor is to monitor the operation of the service, with the most important operations, for example, the purchase of securities on the stock exchange, must undergo a manual verification specialist.

Senior partner at FinEx Capital Management Oleg Yankelev argues that platform of the savings Bank is the first Bank Robo-adviser, which solves a typical problem faced by retail investors. “This platform helps to save for major purchases, save, savings, as well as take care of their own pensions,” he says. Previous robotic advisors, FinEx developed together with the Bank VTB24 and “AK bars”, only advised its clients on investment strategies, managing portfolios not directly specified in the comment a press-services of FinEx.

The service “Simple investments” invests exclusively in exchange traded funds (ETF), traded on the Moscow stock exchange — the operator is a company FinEx. This choice of assets, the press service of the FinEx explains that the most successful robotic advisors in Europe and the United States invested mostly in ETFs. Because on the Moscow exchange are traded only funds from FinEx, the platform of “Simple investment” has to be limited to these instruments. The minimum investment through the service is 100 thousand rubles, the client may on a monthly basis to Fund your account at least 5 thousand rubles For the services of Robo-adviser takes a Commission of 1.5% per annum of the value of the assets. Cash withdrawal fee is not charged, and the client can withdraw money from the account card.

To work with the “Simple investment”, the client will have to open an individual investment account (IIA) or fiduciary account. He can do it remotely (via the platform) and recharge via mobile app “Sberbank Online”. While this service is only available Russians registered in the portal however, the developers of Robo-advisors promise to soon make possible identification through the system of interdepartmental electronic interaction (SMEV), which does not require customer registration in the public services. It is assumed that the design of tax deductions for IIS, which is required by law, will help investor to maximize the profit from the investments.

Assistant for beginners

Trader and asset Manager investment Solutions company S. R. Roman Andreev believes that the new service of Sberbank may be interested first-time investors with a small cheque of 100 thousand roubles. But for premium clients with more serious amounts of possibilities that offers the platform “Simple investments”, will not be enough. “On the Moscow stock exchange traded a total of 12 ETFs, and these funds do not cover the whole spectrum of tools on the market,” — says the financier. It also notes that the Robo-advising is still exotics in Russia, so the potential audience for this type of service is limited to students and young traders who are searching for new tools. Older investors are quite conservative and prefer to buy securities independently, says Andreyev.

Platform “investment” in any case, is not a substitute for trust management or active investment for the long term, warns the General Director of the developer company Finance Conomy Konstantin Zherebtsov. In his opinion, this Robo-adviser is in fact a marketing tool to sell the ETF from the company FinEx. He also emphasizes that all Robo-advisors are invested in index products, de facto, offering customers passive investing. “It’s not exactly active management, because their strategy involves only walking for the index,” he says.

The main advantage of the new service and the savings is the elimination of the human factor of making investment decisions, says the head of Department on work with wealthy clients of IC “Zerich capital Management” Andrey Khokhrin. In contrast to the control-man, Robo-adviser during the work with portfolio can not prevent errors associated with changes in their psychological state. At the same time, the user “Simple investment” should not be expected to yield, transcending the dynamics of a wide market: it will be either at the level of the benchmark, or below it, warns the financier. “Service lays in its decisions existing on the market trends. To offer something special, in contrast to the living Trustee, he cannot,” explains Khokhrin. However, the financier considers joint development Bank and FinEx quite promising, because it demonstrates the gradual evolution of the industry of asset management in Russia.

The way the robots

By the way, the platform of “Simple investment” is not the only service in the Russian market, which is positioned as a real Robo-adviser. The first was a “Financial pilot”, also developed by FinEx, — he served as basis for similar services from banks VTB24 (“VTB24 — Autopilot”) and “AK bars” (“AK bars adviser”). In March of this year it was also launched the app Right from the company Conomy — robot-Advisor for automated trading stocks and bonds. In addition, the designing of the Robo-advisors do FG “BKS” and, according to RBC, Alfa Bank. Experts surveyed by RBC, agree that in the coming years, the industry Robo-advising in Russia will grow rapidly, as elsewhere in the world.

According to estimates by Deloitte, in 2016, the amount of assets under management of Robo-advisors in the global market reached approximately $200 billion By 2020, it could grow to $3.7 trillion, and by 2025 — to $16 trillion, is projected in the Deloitte study. Now the largest robotic advisers working on the US market. First of all, this platform is the Vanguard Personal Advisor Services, established brokerage company Vanguard assets under management from the robot-adviser exceed $100 billion followed by similar services from Schwab ($10.2 billion), Betterment ($7 billion) and Wealthfront ($4.6 billion).