One of the world’s largest online platforms Wealthfront will sell its business to UBS in an all cash deal of $1.40 billion.
With this, UBS will transform Wealthfront’s business model to hybrid i.e. combination of both human advisors and robo advisors to service its large number of investor base.
Of late, Betterment, world’s largest online distributor has started appointing human advisors to service its large customer base.
This indicates that the global online advisory market has been shifting to hybrid model to grow business.
Indian market has witnessed entry of a few large online distributors like Groww, Paytm, Zerodha and Kuvera in mutual fund distribution space. Only time will tell if they will follow the global trends.
