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Sigfig Brokerage Review 2020 – One of The Leading Robo Advisors on The Market

Sigfig is one of the leading robo advisors that offer low-cost portfolio management services. As a Sigfig client, you benefit from its low service fee – just 0.25%, and free management on the first $10,000 you invest. Sigfig also charges no annual, transferring or closing fees, and this ranks Sigfig among the best discount robo advisors on the market.

With that said, Sigfig still lags behind some of its namesakes like Betterment and Wealthfront in several aspects. Let’s read this review to find out where this robo advisor shines and where it falls short.

Highlights
  • Low-cost portfolio management services
  • Free management first $10,000
  • No annual, transferring, closing fees
  • Professional customer service
5.
of 9 Robo Advisor Broker
Sigfig
Sigfig experiences
Trader Rating
90%
Go to Sigfig opinions
Go to Broker
Risk warning: Capital can be lost. Terms and conditions apply.
Headquarters and regulation

USA (SIPC)

Minimum deposit

$ 0

Investment Universe

Shares, Commodities, Real Estate, Bonds, Money Market

Investment Strategy

Dep. Protection

500000

Mobile Trading & Apps

Trading fees

0

Profit Participation

Diversification

Yes

Services & additional benefits

Hotline
E-mail

1. Trading Offer

1) Robo Advisor Trading Offer: 27 ETFs in 9 Categories

Partnering with 3 brokerages TD Ameritrade, Charles Schwab and Fidelity, Sigfig provides you with 27 ETFs in 9 categories, including US Bonds, Short Term Treasuries, Emerging Market Debt, US Municipal Bonds, US Equity, Developed Market, Equity, Emerging Market Equity, Real Estate.

Below is the set of primary and secondary ETFs that Sigfig offers:

Shares
Commodities
Real Estate
Bonds
Money Market

TD Ameritrade:

Primary: SPAB, SPTS, EMB, MUB, SPTM, SPDW, SPEM, USRT, IPE

Secondary: SCHZ, SCHO, PCY, TFI, IWB, IEFA, IEMG, IYR

 

Fidelity

Primary: AGG, SHY, EMB, MUB, ITOT, IEFA, IEMG, FREL, TIP

Secondary: SCHZ, SCHO, PCY, TFI, IWB, VEA, VWO, IYR

 

Charles Schwab

Primary: SCHZ, SCHO, PCY, TFI, SCHB, SCHF, SCHE, SCHH, SCHP

Secondary: AGG, SHY, EMB, MUB, SCHX, IEFA, IEMG, VNQ, TIP

While other robo advisors work directly with traders, SigFig is just like an add-on where you plug your brokerage account into this robo advisor’s service. All Sigfig accounts, as a result, are managed via a custodial arrangement with its 3 partners mentioned above.

Trader Rating
4.5/5
Sigfigreview_summary_group_1_image
  • Sigfig provides you 27 ETFs in 9 categories.
  • Sigfig works as an add-on where you plug your brokerage account into this robo advisor’s service.
  • All of Sigfig’s accounts are managed via a custodial arrangement with TD Ameritrade, Charles Schwab and Fidelity.
Go to Broker
Risk warning: Capital can be lost. Terms and conditions apply.
2. Costs

Trader Rating
4.5/5
Sigfigreview_summary_group_2_image
    Go to Broker
    Risk warning: Capital can be lost. Terms and conditions apply.
    3. Account

    3) Accounts: Multiple Types of Accounts

    Sigfig was created for only one purpose: It’s to assist you to invest more wisely. They help you invest with your funds kept at your existing broker as long as it’s one of the robo advisor’s partners (TD Ameritrade, Charles Schwab and Fidelity).

    The default broker at which Sigfig will start your account is TD Ameritrade in case you haven’t chosen your favourite broker.

    0% for the first $10,000
    Administration fees
    0
    Trading fees
    -
    Underlying costs/fees
    $ 0
    Minimum deposit
    0%
    Performance fee
    0.25
    Annual fees
    Yes
    Diversification

    This robo advisor provides traders with 2 primary types of accounts:

    Portfolio Tracker: This is a free service that helps you track your existing portfolio regardless of which broker you use. Before starting, Sigfig will ask you a few questions in order to appraise your risk tolerance. You will then receive advice about how to make your current portfolio better.

    Managed Accounts: Differing from the Portfolio Tracker, this service will help you balance your portfolio, minimize costs, and diversify the risk. Sigfig will ask you about your income, age, invested assets, and risk tolerance before you can use the Managed Accounts service. The robo advisor will then build a portfolio suitable for you and help you manage it.

    In addition, Sigfig also delivers to traders some other account types, including taxable accounts, Roth, Traditional, Rollover, SEP and SIMPLE IRAs.

    Trader Rating
    4.5/5
    Sigfigreview_summary_group_3_image
    • Sigfig helps you invest with your funds kept at your existing broker.
    • This robo advisor offers 2 primary types of accounts: Portfolio Tracker and Managed Accounts.
    • Sigfig also offers traders taxable accounts and IRAs.
    Go to Broker
    Risk warning: Capital can be lost. Terms and conditions apply.
    4. Platform

    4) Trading Platform: Sigfig’s Mobile App is Appreciated

    Sigfig offers traders a mobile app compatible with both iOS and Android devices. This app has been rated as easy to set up and use. Some review websites even recognized Sigfig’s app as one of the best investment apps for smartphones.

    Besides, this robo advisor’s partners also bring to traders very powerful trading platforms.

    IOS
    Android

    TD Ameritrade – Sigfig’s primary partner – provides traders with multiple trading platforms which work on both PC and mobile devices. This broker’s main platform, so-called Thinkorswim, is rated as one of the most professional platforms in the market today with many elite-level tools and sophisticated analytical resources integrated.

    Charles Schwab – the second partner of Sigfig – also has a powerful trading platform called StreetSmart Edge, which ranks among the best as well. The most notable point of StreetSmart Edge is that it can flexibly adapt traders’ style, enabling them to perform complex trading strategies. This platform can also be accessed from both PCs and mobile devices.

    The Sigfig’s third partner is Fidelity. This broker’s platform, Active Trader Pro, is very comprehensive and a combination of exclusive tools such as Real-time Analytics, Strategy Ideas, Option Trade Builder, and Trade Armor.

    Trader Rating
    4.5/5
    Sigfigreview_summary_group_4_image
    • Sigfig offers traders a mobile app compatible with both iOS and Android devices.
    • Sigfig’s app is rated as easy to set up and use.
    • This robo advisor’s partners also bring to traders very powerful trading platforms.
    Go to Broker
    Risk warning: Capital can be lost. Terms and conditions apply.
    5. Usability

    5) Usability of the Website: Clearly Arranged and User-Friendly

    Sigfig’s website is designed very lively and professionally with the white and light grey being the primary colours.

    Laying at the top of the homepage is the menu bar where you can find every information about this robo advisor’s products and services. There are also two buttons Login and Invest With Sigfig at the top right-hand corner, enabling traders to easily login or start to discover the right investment plan for themselves.

    Sigfig is very wise when they put a straightforward question which asks for traders’ age and their investment intention at the homepage. Not only does this help the robo advisor quickly gather needed information about traders’ investing plans, but also helps traders quickly find out what portfolio best suits their needs. A win-win solution!

    The Homepage is also where Sigfig tells about their products, investment plans, and benefits they will bring to traders. This robo advisor offers a contact number running throughout the website as well. You can call them or request a call back if having questions.

    Trader Rating
    4.5/5
    Sigfigreview_summary_group_5_image
    • Sigfig’s website is designed very lively and professionally.
    • You can find information about Sigfig’s products right on the homepage.
    • Sigfig offers a contact number running throughout the website, enabling traders to easily and quickly reach their specialists.
    Go to Broker
    Risk warning: Capital can be lost. Terms and conditions apply.
    6. Support

    6) Customer Support: Very Responsive

    Sigfig offers you 3 ways to reach their specialists as follows:

    By Phone: You can reach the robo advisor’s support team at 855-875-1580, or request a call back by clicking on the Schedule Appointment button in the Question box at the right of the website. Choose your timezone and comfortable time for a talk with their specialists.

    By email: You can send your questions to [email protected]. Sigfig usually responds emails within 24 to 48 hours.

    E-Mail
    Telephone
    Live-Chat
    On the spot

    By Social Media: With this way, you can receive answers in just a few hours. You can contact their specialists via the following 4 channels:

    • Facebook: https://www.facebook.com/sigfiginsights
    • Twitter: https://www.twitter.com/SigFigInsights
    • Google+: https://plus.google.com/106382800856064123839/
    • Linkedin: https://www.linkedin.com/company/sigfig

    Sigfig also offers a comprehensive Frequently Asked Questions section where you may find relevant answers to most of your questions. Information about offered accounts, building a portfolio, and how Sigfig manage your funds are all available here.

    Trader Rating
    4.5/5
    Sigfigreview_summary_group_6_image
    • Sigfig offers 3 ways to reach their specialists: via phone, email, and Social Media.
    • Contacting the company by the phone is perhaps the easiest and quickest way to get questions answered.
    • Sigfig offers a comprehensive Frequently Asked Questions section (FAQ) where you may find relevant answers to most of your questions.
    Go to Broker
    Risk warning: Capital can be lost. Terms and conditions apply.
    7. Payment

    7) Methods of Payment: Sigfig’s Partners Offer Various Payment Methods

    There are 5 primary methods for you to deposit to the brokers that Sigfig partners with:

    Electronic Bank Deposit (ACH): This is the most popular funding method. You simply transfer your money from your bank account to your brokerage account. This method usually takes between 30 minutes to 3 business days to complete, depending mostly on your bank.

    Wire Transfer: You deposit to your broker account with a wire transfer from your bank or other financial institution. The standard completion time of this method is up to 1 business day. This method best suits those making large deposits.

    Check: You send a check for deposit into your broker account. This method usually takes between 1 to 3 business days to clear. To use this method, you usually have to download mobile apps or mail in.

    • banktransfer

    External Securities Transfer: You transfer ETFs, stocks, or options from another firm into your brokerage account. The standard completion time of this method is about a week.

    Physical Stock Certificates: You fund your broker account by depositing physical stock certificates in your name. This method usually takes 1 business day to clear.

    Trader Rating
    4.5/5
    Sigfigreview_summary_group_7_image
    • Sigfig’s partners provide you with multiple payment methods.
    • Most of the payment methods take between 1 to 3 business days to complete.
    • The Electronic Bank Deposit is the most popular funding method.
    Go to Broker
    Risk warning: Capital can be lost. Terms and conditions apply.
    8. Offers

    8) Additional Offers: Free Management Service on The First $10,000 Invested

    As a Sigfig client, you won’t be required to pay any fees until you reach the $10,000 mark, and any amount under that will be managed for free. This offer is really beneficial for those who want to test this robo advisor’s services without paying any fees.

    E-Mail
    Courses or Seminars
    Education

    In addition, Sigfig also offers a free Portfolio Tracking service. Every week, you will receive a handy summary which informs you how your investments are performing and what investments are going well. This helps you always track your portfolio’s performance.

    When it comes to the Sigfig’s partners, promotions are even more engaging. TD Ameritrade offers traders 60 days trading without paying any fees plus a deposit bonus of up to $600. Meanwhile, Fidelity delivers to traders 500 free trades plus a $2500 deposit bonus depending on their deposit amount. Charles Schwab also offers 500 commission-free online trades for equity and options for two years if traders make a qualifying net deposit of $100,000 or more.

    Trader Rating
    4.5/5
    Sigfigreview_summary_group_8_image
    • Sigfig offers a free management service for your first $10,000 invested.
    • The Portfolio Tracking service of this robo advisor is also free.
    • Sigfig’s partners have many engaging promotions for traders.
    Go to Broker
    Risk warning: Capital can be lost. Terms and conditions apply.
    9. Regulation

    9) Regulation & Deposit Protection: Sigfig is an SEC-Registered Investment Advisor

    There are many reasons why you should choose Sigfig. One of them is the safety of this robo advisor. In this day and age safety and reliability is the most crucial aspect of investing your funds.

    SigFig Wealth Management, LLC is a U.S. Securities and Exchange Commission registered investment advisor. This commission, so-called SEC, has the mandate to protect traders, facilitate capital formation, and maintain orderly and fair markets. Therefore, you can rest assured that Sigfig’s activities are transparent.

    SIPC
    Regulatory Authority
    500000
    Dep. Protection

    The Sigfig’s website is encrypted using a 128bit Secure Socket Layer (SSL) encryption, which is the most modern security technology in encrypting and protecting user data nowadays. Your personal information such as names, emails, phone numbers, passwords, date of birth, credit card details, and addresses is well protected from being hacked.

    When it comes to deposit protection, all of Sigfig’s partners are members of SIPC. This means you can claim a compensation of up to $500,000 for securities and cash (including $250,000 for cash) in case TD Ameritrade, Charles Schwab, or Fidelity are in financial trouble.

    Trader Rating
    4.5/5
    Sigfigreview_summary_group_9_image
    • SigFig is an SEC-registered investment advisor.
    • The Sigfig’s website is encrypted using a 128bit Secured Socket Layer (SSL) encryption.
    • All of Sigfig’s partners are members of SIPC.
    Go to Broker
    Risk warning: Capital can be lost. Terms and conditions apply.
    10. Awards

    10) Awards: Multiple Awards and Recognitions

    Sigfig is one of the robo advisors that have earned multiple awards thanks to top-notch management services.

    The Sigfig’s most notable award that should be mentioned first is the Webby Nominee. The robo advisor has achieved the “Webby Nominee in Financial Services” awards for 3 years in a row (from 2010 to 2012). In 2011, Sigfig also earned the “Webby Honoree in Utilities & Services (Tablets & All Other Devices).”

    In addition, this robo advisor also appeared in the “50 Best Websites” list of Time Magazine in 2011. In the same year, Sigfig also gained the “Finovate Best in Show” award. This was the second time this robo advisor won that award.

    The other awards of Sigfig include “2008 SXSW Web Awards Best in Business” and “Winner of Windows 8 First Apps Content.”

    According to Maximum PC, SigFig was one of the 8 must-install apps from the windows 8 store. This robo advisor’s app also appeared in the “top 10 must-install apps” list of PC Advisor.

    Trader Rating
    4.5/5
    Sigfigreview_summary_group_10_image
    • Sigfig is one of the robo advisors that have earned multiple awards.
    • This robo advisor has earned the “Webby Nominee” awards for 3 consecutive years.
    • SigFig was recognized as one of the 8 must-install apps by Maximum PC.
    Go to Broker
    Risk warning: Capital can be lost. Terms and conditions apply.

    Conclusion: A Good Robo Advisor With Low Costs

    Sigfig is a prominent candidate among robo advisors for low-cost portfolio management services. With no account fees charged (annual, transfer, closing) plus free management on the first $10,000, this robo advisor is an ideal place for traders seeking low-cost, efficient portfolio management.

    Where Sigfig shines is not only in its low-cost portfolio management services but also in promotions this robo advisor and its partners give to you. The Portfolio Tracker service of Sigfig is completely free; besides, all of Sigfig’s partners deliver to you many engaging offers, including hundreds of fee-free trades and deposit bonuses of up to $2500.

    Sigfig is also appreciated for its responsive customer service. There are 3 ways for you to reach their specialists: via phone, email, and social media. With email and social media, this robo advisor usually responds in just a few hours.

    Sigfig requires an account minimum of $2000 to start. Unbiasedly speaking, this minimum may be too much for some, and it’s also higher compared to its competitors like Wealthfront ($500 minimum) and Betterment ($0 minimum). However, Sigfig is basically still among the world’s best robo advisors.

    Want to know more about other robo advisors? Check out our robo advisor comparison page.

    Strengths

      Weaknesses

        Test result
        Total
        90%
        Ratings
        21
        Broker
        Go to Broker
        Risk warning: Capital can be lost. Terms and conditions apply.
        Sigfig
        Go to Broker
        Risk warning: Capital can be lost. Terms and conditions apply.

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