I’m not taking anything away from robo advice, having an 8 year head start on these clowns with Exodus. I just find it funny how these large banks come a decade or so late to technology and then try to inject it into their antiquated cultures, without pissing people off.
JPMorgan Chase & Co. can give valued clients a free automated investment service or a checking account that comes with no-cost brokerage trades as part of a future bundle of digital-banking products, Chief Executive Officer Jamie Dimon said.
“When you talk about robo and investing, well we can do that, and give it away for free if we want,” Dimon, 60, said Thursday during an investor presentation in New York.
“If you’re a good account, it’s no different than Jeff Bezos doing the $99 Prime and adding services to it, so you’re always making the clients satisfied,” Dimon said, referring to the Amazon.com CEO. Clients with retirement accounts would be one potential target, he said.
Banks are racing to incorporate new technology, including robo-advice, to fend off new entrants seeking to steal established firms’ customers. The service, popularized by Wealthfront Inc. and Betterment LLC, uses algorithms to generate investment-allocation advice with minimal human interaction. JPMorgan, the biggest U.S. bank by assets, has partnered with On Deck Capital Inc. to use its technology to offer small-business loans to the bank’s customers.
By ‘good account’, Jamie probably means upwards of $5 million. Anything less than that will likely get shipped to a call center for pikers.
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“Well we’ll just set you up Mrs. Jones with our JPM alternative value robo advisor for performance exposure………………Aaaannnnddd it’s gone.”
There’s a thought. Build a front end for Exodus where you input risk profile, investment timeline, investment goals etc and it spits out a portfolio.