Answer: Assets managed by robo-advisers are growing in part due to new entrants such as insurance companies

## Explanation Let's analyze each option: **Option A: Robo-advisers charge higher fees than traditional investment advisers** - This is **incorrect**. Robo-advisers typically charge **lower fees** than traditional investment advisers due to their automated, technology-driven approach that reduces operational costs. **Option B: Robo-advisers mainly target investors with a high level of investable assets** - This is **incorrect**. Robo-advisers primarily target **mass-market investors** with lower investable assets who may not meet the minimum investment requirements of traditional advisers. They democratize access to investment advice. **Option C: Assets managed by robo-advisers are growing in part due to new entrants such as insurance companies** - This is **correct**. The robo-advisory industry has seen significant growth with new entrants from various sectors including: - Traditional financial institutions (banks, brokerages) - **Insurance companies** expanding into wealth management - Fintech startups - Asset management firms **Key Points:** 1. Robo-advisers use algorithms and technology to provide automated investment advice and portfolio management. 2. They typically charge lower fees (often 0.25%-0.50% AUM) compared to traditional advisers (1-2% AUM). 3. They target a broader demographic, including younger investors and those with smaller portfolios. 4. Industry growth is driven by technological adoption, changing consumer preferences, and expansion into new market segments. Therefore, option C is the most accurate statement about robo-advisers.

Author: LeetQuiz .