The Nobel Award winner and father of efficient market theory gave an interview recently. Some of his insights are highlighted in this web page. The interview covers a wide range of investment topics, including passive investing, hedge funds, factor investing, and financial advisers.
In the end, these are going to be a boon to professional advisers. They’re going to be a way advisers can show their clients what distributions of outcomes possibly look like with different investment strategies.
I play a lot of golf with a lot of rich people. When I talk to them about their portfolios, they don’t want to bother with them, basically. They want an adviser, and they do not want to be involved in investing on a day-to-day basis, because their value added is somewhere else. I don’t think that’s going to change. These robo-things are just a technology tool that will help advisers in the end, not hurt them.