We charge an annual advisory fee of 0.25% on all assets under management deducted monthly.* Wealthfront does not charge any account-opening fees, withdrawal or account-closing fees, trading/commission fees, or account transfer fees.
Example Advisory Fee Calculation:
An account with an average monthly balance of $100K will have a monthly advisory fee of $20.55. Assuming 30 days in the month and 365 days in the year, the math is as follows: $100,000 * 0.0025 * (30/365) = $20.55.
The only other fee you incur is the expense ratio embedded in the ETFs and mutual funds you will own. The one expense ratio Wealthfront earns is the 0.25% we charge for the Wealthfront Risk Parity Mutual Fund, which can represent up to 20% of your portfolio. Wealthfront 529 account fees are slightly different. You can view our 529 fee details here.
* Assets under management is defined as all assets held at Wealthfront except for those included in Selling Plan.
*If you signed up prior to April 1, 2018, you will receive your first $10,000 managed for free. For an account with an average monthly balance of $100,000, your monthly advisory fee is $18.49 ($90,000 * .0025 * (30/365)).
The Wealthfront Risk Parity Fund (the “Fund”) is managed by Wealthfront Strategies LLC (formerly known as WFAS LLC), a registered investment adviser and a wholly owned subsidiary of Wealthfront Inc. Wealthfront Strategies LLC receives an annual management fee equal to 0.25% of the Fund’s average daily net assets. Northern Lights Distributors, LLC, a member of FINRA and SIPC, serves as the principal distributor for the Fund. Wealthfront Inc., is not affiliated with Northern Lights Distributors, LLC.
Before investing in the Wealthfront Risk Parity Fund, you should carefully consider the Fund's investment objectives, risks, fees and expenses. This and other information can be found in the Fund’s prospectus. Please read the fund prospectus or summary prospectus carefully before investing. There is no guarantee that any investment will achieve its objectives, generate positive returns, or avoid losses.
In order to add the Wealthfront Risk Parity Fund, we must rebalance your portfolio. As part of this process, if we sell positions at a gain, and you do not have sufficient harvested losses to offset those gains, you’ll pay taxes on the net gain.