The Experiment: Give Robots $10K and See Who Wins
In September 2025, I deposited $2,500 into each of four robo-advisors: Wealthfront, Betterment, M1 Finance, and Schwab Intelligent Portfolios. Same risk profile across all four. Same time period. Different results.
Six months later — through the China tariff war, Iran strikes, and oil shock — here''s how each performed.
The Results (Sep 2025 — Mar 2026)
- Wealthfront: +4.2% ($10,420 → $10,525 after tax-loss harvesting benefit). Best tax optimization. Clean interface. 4.5% APY on uninvested cash.
- Betterment: +3.8% ($10,380). Slightly more conservative allocation. Excellent goal-based planning features.
- M1 Finance: +5.1% ($10,510). Best performance because their "Pie" system lets you tilt toward sectors. I had a 10% energy overweight that paid off during the oil spike.
- Schwab: +3.1% ($10,310). No advisory fee but holds 6-8% in cash (earning Schwab money, not yours). The cash drag cost roughly 0.5% in returns.
The Verdict
Wealthfront wins overall. The combination of tax-loss harvesting, 4.5% cash APY, and clean UX makes it the best set-and-forget option. M1 Finance wins if you want more control over allocations.
Here''s the uncomfortable truth: all four outperformed the average retail investor who was panic-selling during the Iran strikes and FOMO-buying the tariff rally. Sometimes the best strategy is getting out of your own way.
