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JPMorgan is Testing a New Robo-Advisor

December 21, 2017

JPMorgan is piloting a lower-cost robo-advice platform, with plans to roll it out on a wide scale in the middle of next year, Reuters writes.

The company was scheduled to file required documentation with the SEC Wednesday and intends to start the trial of the service, dubbed JPMorgan Digital Investing, immanently in fewer than 100 accounts belonging to JPMorgan employees, company officials tell the newswire.

The platform, developed in-house with financial software firm InvestCloud, will become available to some clients in March and more widely by the middle of the year, according to Reuters.

JPMorgan has set the minimum for the platform at $5,000 but is lowering it during the testing phase, Kelli Keough, head of digital wealth management, tells the newswire.

The firm is “exploring and testing a variety of different pricing mechanisms” and will set its fees by March, he tells Reuters.

The robo is part of the $300 million investment committed by CEO Jamie Dimon to improving technology for JPMorgan’s asset management products, according to Keough, the newswire writes.


In April, Dimon wrote in his annual letter to shareholders that an automated advice platform would be ready this year.

JPMorgan is the latest traditional financial institution to offer a digital advice platform. Following robo-pioneers Betterment and Wealthfront, Morgan Stanley, Merrill Lynch, Schwab and, most recently, Wells Fargo, have all introduced digital advice services, with fees ranging from 0.25% to 0.50%. Consultants estimate robos could reach $10 trillion in assets within several years, Reuters writes.

By Alex PadalkaAlex Padalka
  • To read the Reuters article cited in this story, click here.