Wealthfront vs. Vanguard Personal Advisor Services: Which Is Right for You?
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In the heated battle of robo-advisors vying to help you build a portfolio, Wealthfront and Vanguard Personal Advisor Services are among the top choices. Yet there are key differences — especially the minimum you need to open an account, the types of accounts supported and management fees.
Let's see how they stack up.
Wealthfront is best for:
Hands-off investors.
Taxable accounts.
Free financial tools, even if you don't have a Wealthfront account.
529 college savings plan management.
Wealthfront at a glance
Account minimum | $500 for investment accounts, $1 for cash accounts, $0 for financial planning. |
Account management fee | 0.25% (first $5,000 managed free for NerdWallet readers). |
Investment expense ratios | ETF expense ratios average 0.08%. Portfolios that include the Wealthfront Risk Parity Fund have an average expense ratio of 0.11%. |
Account fees (annual, transfer, closing) | None. |
Portfolio mix |
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Socially responsible portfolio options | Clients can choose to invest in Wealthfront’s SRI portfolio or customize any other Wealthfront portfolio to include socially responsible options for no additional fee. |
Accounts supported |
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Tax strategy |
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Automatic rebalancing | Free on all accounts. |
Human advisor option | None. |
Savings account/cash management account | The Wealthfront Cash Account offers high interest checking. The cash account offers a competitive yield and is covered by up to $1 million in FDIC insurance. The account requires just $1 to get started. |
Customer support options (includes how easy it is to find key details on the website) | Licensed product specialists (have Series 7 & 66 and some are CFAs/CFPs/CPAs) available to provide support or product information via phone or email (they do not make recommendations or give advice). Phone support Monday through Friday 8 a.m. to 5 p.m. Pacific; and all emails are responded to within one business day. |
Vanguard PAS is best for
Access to financial advisors.
Comprehensive financial planning.
Larger account balances.
Vanguard PAS at a glance
Account minimum | $50,000 |
Account management, planning or subscription fee | Starts at 0.30% but tiered (drops at higher balances):
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Other account fees | None. |
Setup or onboarding fee | None. |
Advisor access and credentials |
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Financial planning services | Can advise and create a custom portfolio for a variety of situations, such as saving for retirement, college or a family vacation home. Services include: Social Security optimization, dynamic spending, tax efficiency, long-term care and medical costs, high-level guidance on estate planning, charitable giving, Roth conversions and trust services. |
Investment expense ratios on portfolios | Average expense ratio is 0.06%. |
Portfolio construction | PAS creates customizable portfolios on a client-by-client basis to fit their goals, circumstances and preferences. Uses Vanguard index funds and ETFs, which are low-cost and diversified with tight tracking. As potential alternatives to core index options, offers three ESG funds (scored on environmental, social and governance factors for sustainable investing). |
Brokerage options | Clients must move money to Vanguard but can keep outside investments if there are embedded gains or other reasons to do so. |
Accounts supported |
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Tax strategy |
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Customer support options (includes how easy it is to find key details on the website) | Customer support is available Monday through Friday, 8 a.m. to 8 p.m. Eastern time. Ability to schedule appointments with an advisor at any time. |
Curious about other options?
The number of online advisors continues to swell, as does the range of services. NerdWallet conducted an in-depth analysis of over 20 offerings this year. We’ve covered the best choices here.
