RBC Investease Review 2023 - Best Big Bank Robo Advisor?

RBC Investease Review 2023: when picking a robo adviser, some people prefer to stick with the tried-and-true. If this describes you, RBC InvestEase may be a good choice.

Table of Contents

WHAT IS RBC INVESTEASE?

Particularly when picking a robo adviser, some people prefer to stick with the tried-and-true. If this describes you, RBC InvestEase may be a good choice. RBC InvestEase, a service provided by one of Canada’s most renowned banks, allows customers to try out passive investing while keeping with a trusted financial brand.

RBC INVESTEASE FEES

We’re always looking for robo advisers that provide greater value, but RBC maintains fairly standard fees. No matter the size of your account, RBC InvestEase charges a flat-rate management fee of 0.5 percent. The lack of tiered pricing, however, implies that investors with larger accounts are paying more than they should be. This makes it simple for novice investors to grasp.RBC Investease Review

You will also be charged the MERs (management expense ratios) on the ETFs in your portfolio in addition to the management fee. Depending on your portfolio, there are two main rate categories for MERs. The MERs for the typical portfolio range from 0.11 to 0.13. These fees will be greater and fall between 0.18% and 0.23% if you have a portfolio of prudent investments.

If you’re thinking about converting your investment to RBC InvestEase, you should know that they will pay the transfer cost for transactions above $1,000, up to a maximum of $200 in expenses.

Insider Tip: RBC InvestEase occasionally runs promotions in which the management charge (0.5%) is waived for a specified period of time. Therefore it’s important to watch out for it!

RBC INVESTEASE ACCOUNT TYPES

Only TFSAs, RRSPs, and non-registered accounts are available through RBC InvestEase.

Even while Canadians normally utilise these three accounts the most, the lack of additional options is a little frustrating. RESPs, RRIFs, and LIRAs are also offered by other robo advisers including Wealthsimple and BMO Smartfolio.

RBC INVESTEASE PORTFOLIOS

RBC Investease Review There are two different types of portfolios available from RBC InvestEast. Depending on your risk tolerance, the conventional portfolio and the responsible investing portfolio are further divided into five fundamental types of portfolios.

Globally diversified ETFs, a 0.5% management charge, and professional account management by RBC InvestEase are all features of both the basic and responsible investing portfolios. The distinction is in the ETF categories that each portfolio concentrates on. In a portfolio for responsible investment, RBC selects ETFs with high environmental, social, and governance (ESG) criteria and omits ETFs linked to businesses engaged in cigarettes, weapons, or significant disputes.

In terms of socially conscious investment, RBC is the industry pioneer. The MERs are slightly higher for responsible portfolios because they are more specialised than conventional portfolios. Some people don’t mind the additional costs, though, as they believe they are helping the future and the greater good.

RBC Investease Review RBC wants to help you grow your money, regardless of the portfolio you select.

RBC INVESTEASE PERFORMANCE

RBC InvestEase’s standard portfolio returns ranged from 1.8% (extremely conservative portfolio) to 6.3% (aggressive growth portfolio), and their SRI portfolio returns ranged from 1.1% to 6.7%. But please bear in mind that, particularly in the case of a robo adviser that only debuted in 2017, there isn’t much actual information regarding the quality of investments that can be gleaned from these data.

Government of Canada

Performance history only provides information on past performance, and in this case, prior performance is limited to recent times. Investment is a lengthy game, and generally speaking, the final trends of all well-diversified portfolios are the same. We advise concentrating on the fundamentals of index investing as a result. They consist of

Diversification
Asset allocation
Indexing
Rebalancing
Expenses
Index Funds (ETFs)

As the underlying ETF indexes and all robo advisers adhere to the same principles, attempting to compare them and assess success is, quite plainly, a waste of time. Believe in the procedure.

In light of this, you may access your RBC Investease dashboard via the RBC app or your desktop or laptop computer if you want to see things visually. A time-weighted chart based on your contributions will show you projections for your performance. Remember once more that there are many variables that could affect the outcome and that nothing is guaranteed.

RBC INVESTEASE MOBILE APP REVIEW

No dedicated mobile app exists for RBC InvestEase. Via the primary RBC Mobile app, investors may obtain information about their portfolios.

In Google Play and the Apple App Store, this app has received ratings of 3.6 and 4.8 stars, respectively. About all of the most recent comments on the Google shop are bug reports. Although there are more good remarks in the mix of Apple store comments, there are still a handful of complaints. It appears that certain adjustments and upgrades are required based on the input.

The MDJ editorial staff members that use the RBC Mobile app haven’t had any particular problems, but it’s always a good idea to consider general experiences when comparing robo advisers. In this instance, RBC InvestEase doesn’t seem to consider the RBC Mobile app to be a major selling point.

WEALTHSIMPLE VS. RBC INVESTEASE

We have investigated portfolio option, fee, and performance details. The main concern, though, is how RBC InvestEase stacks up against the competition.

Only two of the big banks currently offer a robo advisor, and RBC is one of them. BMO Smartfolio is the alternative. Read more about BMO Smartfolio here.

It is useless to inquire about how RBC stacks up against the big banks in such a limited field. What you really want to know is how Wealthsimple, which is without a doubt our top selection for a robo advisor, stacks up against RBC InvestEase. Let’s look at it.

Robo Advisor	RBC InvestEase	Wealthsimple
Management Fees	0.5%	0.5% for accounts under $100,000. Then 0.4% for accounts over $100,000.
MERs	0.11%-0.13 standard 0.18%-0.23% responsible	0.12%-0.15% standard 0.21-0.23% responsible
Responsible Investing Option	Yes	Yes
Minimum Deposit	$0, but your money only starts being invested when you have $100	$0
Account Types	RRSP, TFSA, non-registered	RRSP, TFSA, RESP, LIRA, RRIF, Non-registered

It goes without saying that Wealthsimple is the best robo adviser in our opinion (click here for our full Wealthsimple review). They provide cheap costs, no account minimums, and an app and platform that are simple to use and comprehend. In addition, Wealthsimple keeps expanding their capabilities as they grow over time.

Wealthsimple Trade, Wealthsimple Cash, Wealthsimple Coin, and even free tax software are now available alongside the Wealthsimple robo adviser. Wealthsimple has unquestionably established themselves as a major player in the financial industry. They can’t be beaten (at least not yet! ), they have so much to offer.

RBC InvestEase, on the other hand, isn’t that far behind Wealthsimple, as you can see from the graph above, particularly when it comes to MER rates and fees for accounts under $100,000. In fact, some portfolios have MERs that are lower than Wealthsimple’s (although not low enough to make up for the difference in fees for investors with higher balances).

In the end, RBC InvestEase is a really good option for a robo adviser if you are a committed client of RBC, prefer to have all of your financial products in one place, and are only looking for your basic TFSA or RRSP accounts.

RBC INVESTEASE REVIEW FAQ

Absolutely. RBC Direct Investing Inc, which is overseen by the Investment Industry Regulatory Organization, holds the RBC InvestEase funds. Additionally, it participates in the Canadian Investor Protection Fund (CPIF), which safeguards assets up to $1,000,000 in the event that one of its member organisations fails. RBC InvestEase additionally provides a 100% online security guarantee to guard you against any damages brought on by fraudulent transactions.

When using RBC InvestEase, you should, of course, practise online safety as well. This includes keeping an eye on your account and hiding your passwords. With this robo adviser, you can rest easy knowing that your investments are secure.

To sign up, what do I need?
You must fulfil the following criteria in order to be eligible for RBC InvestEase:

You must open the account on your behalf, not as a general power of attorney, public trust, or another party.
You must be a resident of Canada and the only person with a financial interest in and exercising control over the assets in this bank account.
You must be at least the age of majority in your home province.

After you’re prepared, you can register online.

Will RBC InvestEase provide me with access to any expert advice?
Yes. RBC is regarded as a hybrid robo adviser, meaning you do have access to a specialised team of portfolio advisors should you need or desire any support. This is something that some robo advisors don’t offer.

Is Wealthsimple superior to RBC InvestEase?

While Wealthsimple Invest is a superior robo-advisor, RBC InvestEase is a good one as well. However, unless you’re looking for the pinnacle of socially responsible investing, don’t care about RESPs or RRIFS, and don’t mind paying extra once your balance reaches $100,000, Wealthsimple Invest is the better choice.

What are the anticipated returns for RBC InvestEase?

Estimated returns are never a certainty and can differ significantly from portfolio to portfolio.

Review of RBC Investorease: Verdict

The reason RBC InvestEase is on our list of the top robo advisers in Canada is because it is a reliable robo advisor. The RBC investment portfolios for socially conscious investing are excellent, and they also benefit from a reputation and level of trust with Canadians spanning more than 150 years.

RBC InvestEase is definitely worth checking into if you are someone who is terrified by the idea of robo advisers and wants that major bank name, or perhaps you are already an RBC client and would want to have all of your financial accounts in one place.

RBC InvestEase is on our list of recommended products, but it is not at the top. They don’t offer the wide range of account options that our top-recommended robo advisor does, and its cost structure disadvantages consumers who have sizable investments. Because of this, Wealthsimple Invest remains our top pick for passive investing in Canada.