Andy Rachleff founded Wealthfront a decade ago to provide investors with a better, smarter way to manage their wealth, and builds on core academic research showing that a carefully balanced portfolio of low-priced ETFs outperforms more aggressive strategies. Since then, the company has managed billions of dollars under management and has expanded to new banking services, including high-yield checking accounts.
Rachleff and I spoke on Extra Crunch Live about where Wealthfront is headed towards its second decade, how it sees competition from other, more active trading platforms like Robinhood and its advice for startup founders looking to build lasting products and businesses on a daily basis Status quo.
Self-driving money *
Rachleff started our conversation about the future of Wealthfront. The company is increasingly moving beyond its wealth management app to new services.
"Our vision is to automate all of your finances – we call that self-driving money," he said. This platform is expected to go live in September and will include features like easy direct deposit and automated bill payment. Any remaining savings are automatically transferred to the correct fixed assets that match the risk tolerance chosen by the user.