While robo advisors does help reduce the guess work for most investors, it shouldn’t be the reason why you stop increasing your own level of financial literacy.
The following excerpt from the article below shows this example
“The lack of financial knowledge can be devastating, as highlighted by the tragic suicide of Alex Kearns, a young American investor who took his own life after he mistakenly thought he had racked up hundreds of thousands of dollars in losses from trading options on the Robinhood app.
Kearns misunderstood the way Robinhood presented the result of his trades but since his passing, the app founders issued a statement “pledging to tighten eligibility criteria, educational resources and upgrades to its user interface for customers trading options.’’
The lesson in this for investors is that they need to be savvy about the platform – which speaks to digital literacy. This is in addition to having financial knowledge about sound investing and financial planning.”