Quality financial advice can be difficult to find and often expensive if you want it tailored to your specific needs. However, with advances in technology, roboadvisors allow for low cost access to high quality financial advice. Through structured algorithms as well as machine learning, roboadvisors can help users allocate their savings into the appropriate asset classes to meet the risk/reward objectives. Through a more tailored algorithm for the 50+, the roboadvisor can identify the long term cash needs as well as the spending goals and dreams of the user and help them achieve both cash preservation as well as identify the appropriate budget that enables one to spend such that they can achieve their dreams. Moreover, the roboadvisor would be developed to be user-friendly, informative, and transparent to ensure ease of use and trust in the product.
Currently, roboadvisors are either focused on 1) asset management (i.e. Wealthfront), or 2) savings tips (i.e. Mint). As a result, one knows to save more and what asset classes to invest it, but they don't know how much they should be spending and saving to meet their specific obligations while still spending on the things that make life enjoyable (traveling, entrepreneurial ventures, hobbies, etc). Further, the interfaces of current roboadvisors are typically geared towards millennials and don't address the challenges of building trust with the 50+ community.
I believe that current offerings can be improved upon by identifying one's goal's and potential future obligations. By looking at one's age, current wealth, current and expected income, retirement age, personal and family health, and life ambitions/dreams, a robo advisor can help one identify their potential future cash outflows (i.e. their financial obligations), see how their current and expected wealth and income meets those needs, and see how much one can spend or save towards the things that make their life meaningful. Further, I believe that by using chatbots and a light salesforce, the user will feel that their experience is more personal and higher-touch than simply an automated advisor (even though the automated advisor is providing them with very personal/customized advice).