Anyone who wants to optimize their retirement account. And if you want to make any changes or adjustments to your account on your own, you’re always free to do so. Given that lower fees might translate into higher investment returns, this feature alone makes Blooom worth considering if you have an employer-sponsored plan. The initial free account review is general and doesn’t factor in the actual funds and their fee structure offered in your plan. The firm is laser focused on helping you build your retirement nest egg possible by optimizing investments available to you within your retirement account. Receive a written response within 2-3 business days. Blooom can manage the full range of employer plans, including 401(k), 403(b), 457, and … *This article contains affiliate links to help pay for this website. Third party verification. Bloom uses technology and humans to maintain your investment account. The Blooom diversification model considers the following asset classes: Before committing to the Blooom service, click below to try a free retirement account analysis. In fact, it may be the only solution since it's the only company available offering management of employer-sponsored plans. That’s because I have other accounts with more diversified assets that contribute to my 62% stock vs 38% fixed asset allocation. We fairly evaluate the pros and cons. When you sign up for the service, the first thing that will be done is an analysis of your current portfolio allocation — free of charge. On the plus side, there is a live chat feature that operates in real-time during regular business hours and connects you to actual human advisors. This is a significant advantage if you're one of the millions of people who have an employer-sponsored plan and are not comfortable with the self-directed investment management of your investment account. All reviews and articles are our researched personal opinion and no compensation will sway our opinion, Betterment vs. Wealthfront vs. M1 Finance Robo-Advisor, Blooom Review – Best 401k Robo-Advisor Investment Manager. For most of its seven-year existence, Blooom has focused on this investment niche exclusively. SigFig offers low management fees, financial advisor access and free management of the first $10,000 invested, but its $2,000 account minimum is on the high side. Link your retirement account through the secure platform. You can trust the integrity of our balanced, independent financial advice. M1 Finance vs. Betterment: Main Features. You may be eligible for a prorated refund based on the amount of time you have left on your current subscription. If your IRA is with another financial insititution, you can transfer it to Fidelity or Vanguard for blooom to manage. Blooom is a much smaller company with only about $2B under management. Investor Junkie has advertising relationships with some of the offers listed on this website. They combine their expertise to manage your 401(k), 403(b), TSP, or IRA. That could potentially lead to additional spendable dollars in retirement. Access to financial advisors. Learn all the details in this Blooom robo-advisor review. It can help create and manage your portfolios. The significant disadvantages with Blooom are that the flat fee structure is relatively high on small account balances, and the company does not provide management services for taxable accounts. Required fields are marked *. Comparison Of Betterment vs. Wealthfront vs. Wealthsimple vs. Your financial advisor can respond to a number of your finance-related questions. Stash and Betterment share a key strength as robo-advisors - they both make it incredibly easy for you to start investing your money. How Taxes Affect Your Investment Portfolio, custodian offered through your employer-sponsored plan, withdraw funds from your retirement account, NorthOne Business Checking Account Review 2021, Free analysis / $10/month for full-service management, Taxable brokerage accounts, IRAs, trusts, nonprofits, ETFs; individual stocks with larger portfolios, Digital – 0.25%/year; Premium – 0.40%/year, Since Blooom works with your existing employer plan, it'll build your portfolio based on the investment options offered within that plan. Finally, Blooom manages your account to keep fees low and the diversification appropriate for you. But the real specialization of Blooom is minimizing the fees you're paying into your plan. However, there are fees associated with the individual investments within every plan, such as ETF fees, plus any other fees that may be charged by your plan custodian or administrator. It’s worth a few minutes to try the FREE retirement portofolio analysis at blooom. Blooom is a robo advisor that works specifically with retirement plans such as employer plans and IRAs. Since Blooom only manages your account and doesn't take control of it, you don't need your employer's approval to use the service. Betterment is typically considered the industry leader in this place with over $13B under management. This will show you the investment fees you're actually paying, whether or not you're aware of them. Blooom analyzes your current investments and fees for FREE. Betterment has no minimum deposit, whereas Wealthfront's minimum deposit is a $500 minimum. Blooom recommended a more diversified portfolio, but I have 100% stocks in my retirement account by design. Robo Advisors are all the rage. You keep your account where it is*, with the employer, for a reasonable annual price. But it'll analyze the investment options and move your money into the funds that are most appropriate for your portfolio while helping to. Those fees are paid to third parties, not to Blooom. A traditional advisor could cost you thousands of dollars a year. Blooom stands out by offering management of 401(k)s and other workplace retirement plans — a rare service among robo-advisors. Automated investment manager or robo-advisor for your retirement account. For smaller account sizes, the annual fee represents a greater percent of AUM (assets under management) than for larger accounts. Blooom provides two primary investment management services: employer-sponsored retirement plans and IRAs. Blooom is one of many new robo advisors on the scene of where tech meets investing. *IRA accounts will be managed when in a Fidelity or Vanguard IRA account. You can choose between one of three different service plans: Essentials, Standard, and Unlimited. In this way, Blooom specializes in managing retirement plans. Blooom is designed to create—and maintain—the ideal investment portfolio for each customer's retirement goals. And to extend Blooom's investment management services across your complete retirement spectrum, it might be able to also manage your IRA account(s). The access to a financial advisor at this price point is outstanding. But with its extensive experience managing employer-sponsored plans, adding IRAs to the mix has been a natural progression. Free retirement account analysis is great. Unlike most other robo-advisors who generally cater to taxable accounts, traditional IRAs, Roth IRAs, and SEP IRAs, blooom … Portfolio rebalancing – keeps investments on track with your preferred risk level. Blooom: Investing Strategy. InvestorJunkie.com© Copyright 2021, All Rights Reserved | Investor Junkie is a financial publisher that does not offer any personal financial advice or advocate the purchase or sale of any security or investment for any specific individual. Blooom does only one type of investment management – manages your retirement 401(k), 403(b), TSP, and IRA accounts. Build your dashboard in a few simple steps. This information should not be construed as professional advice. The investment manager does a good job of diversification. Kevin Mercadante is professional personal finance blogger, and the owner of his own personal finance blog. Your email address will not be published. Helping make finance easy. But Blooom does provide management for IRA accounts, so we'll focus on alternative investment services for that account type. Their website is protected by top level security including: Retirement account investment manager Blooom manages your funds for the appropriate diversification and low fees within your plan. She is a former investment portfolio manager and taught Finance and Investments at several universities. Although both providers are considered robo-advisors, the features offered by each are quite different. We try our best to provide up to date information, but it could differ from actual numbers. Blooom Inc. even offers access to financial advisors, for your finance related questions. Blooom is ideal for the novice or intermediate investor who wants the best returns and the lowest fee investments in his or her retirement account. 1. Your email address will not be published. These cutting-edge brokers ease you into long-term … The platform works with the custodian offered through your employer-sponsored plan; for IRAs, it exclusively uses Fidelity, Vanguard and Charles Schwab. Opinions are the author's alone, and this content has not been provided by, reviewed, approved or endorsed by any advertiser. Information provided on Robo-Advisor Pros is for informational/entertainment purposes only. Blooom vs Betterment In early 2017 when they raised $9 million in private equity funding, Blooom had over half a billion dollars under management. So is understanding the retirement account fees that you’re paying. After completing the sign up steps and reviewing the feedback on your asset allocation, fees, diversification, sign up and “become a member”. But Blooom remains the only investment management service an individual can choose to manage their employer plan. Investor Junkie strives to keep its information accurate and up to date. While Blooom simply manages and optimizes your retirement investment accounts, you are not actually investing money into a Blooom account, as it is not a brokerage. Only robo-advisor to manage workplace retirement accounts. Manage the existing funds available through your employers retirement plan. Then, delve into this Blooom Review and find out how this investment robo-advisor might be the way to lower fees and increase investment returns. Are you considering buying a dog, or a house  or paying off debt? Robo-Advisor Fees from Lowest to Highest – a Comprehensive List, TIAA Personal Portfolio Robo-Advisor Review 2021. Consider Blooom your retirement account investment manager to yield the best available nvestment choices for you – invested in low fee funds. See your ideal investment strategy and actual account comparison according to blooom’s expert analysis. Investor Junkie strives to keep its information accurate and up to date. This avoids the need for Blooom to withdraw funds from your retirement account, which would also constitute a taxable plan distribution. Unlike some other robo-advisors, Blooom offers only employer-sponsored retirement account management at this time. Free investment account analysis and recommendations. Like other robo advisors, Blooom creates your portfolio allocation, maintains those allocations, and reinvests dividends. Blooom Inc. was founded by a few investment management guys who want to democratize your retirement investment accounts, so that you get professional help with your 401(k). That said, I never recommend anything I don’t  believe is valuable. There was a minor flaw in the diversification analysis. Blooom is a robo-advisor that manages employer-sponsored retirement plans and it's pretty much the only platform that offers this type of specialization. A fully automated robo-advisor, Blooom does not require a minimum investment to open an account.