Yellow Brick Road launches robo-advice service
Yellow Brick Road (YBR) will offer a free robo-advice service to entry level financial planning clients but will charge for its initial implementation and the ongoing provision of services and advice.
The robo-advice service, dubbed GURU, will provide YBR clients with an online tool that allows them to vary factors such as income, saving, investments, loans and insurances and their impact on end goals to produce a Roadmap at no cost to the user.
However YBR stated that GURU and the Roadmaps would be "supported throughout by a Yellow Brick Road money coach" and that any implementation of the self-generated financial plan would cost $990 in the first year and $660 for every subsequent year.
Yellow Brick Road executive chairman Mark Bouris said financial planning was “ripe for disruption” and Australians were “sick and tired of an industry that cannot provide them simple, affordable financial check-ups and guidance, regardless of income and assets”.
“Knowledge is power and under the traditional model your financial summary is concealed by the adviser until money – often a hefty fee – is exchanged. Our model gives you that information upfront free of all fees or any ongoing charges,” he said.
“We’re also challenging the prohibitive costs of implementation. The option to action your Roadmap with a Yellow Brick Road money coach has been done at a killer price point,” Bouris said.
AUTHOR
Jason Spits
Recommended for you
Financial Services Minister, Stephen Jones, has assured the cost and time to enter the financial advice profession will soon be halved, as shadow treasurer Angus Taylor pledges to reach 30,000 advisers.
The positive results of the latest financial adviser exam have helped the advice profession reach 15,600 yet again, according to Wealth Data analysis.
Financial advice firms have told Adviser Ratings they are planning to increase their compliance spend by almost a third, including on enhancements to their cyber security which ASIC has identified as an enforcement priority.
The digital advice platform is officially launching into the financial advice sector, offering up its services to practices as a means of engaging with the next generation of clients.
