Vanguard has made the decision to wind down its automated financial advice offering, Invest for AmEx by Vanguard, which was launched in partnership with American Express last year. Effective November 15, the companies ceased accepting new customers for the program, and the service will be fully discontinued on February 29.
To ensure a smooth transition for existing Invest for AmEx customers, Vanguard will be migrating them to either Vanguard Digital Advisor or Vanguard Personal Advisor Service. Both of these services offer high-quality, personalized advice tailored to meet the specific needs and preferences of investors.
Although it was not specified why Vanguard is discontinuing the service, the move comes after the two companies introduced the advice offering in April 2022. At the time, Vanguard CEO Tim Buckley stated that it was part of their commitment to making advice more accessible and also presented an opportunity to expand their wealth management services.
Invest for Amex originally required a minimum investment of $10,000 and charged an annual gross advisory fee of 0.50%. This fee was higher than what Vanguard charges for its Personal Advisor Service, which has an annual gross advisory fee of 0.35% for all-index investment options and a minimum requirement of $50,000.
Vanguard’s digital advice offering has a lower minimum requirement of $3,000 and charges an annual gross advisory fee of 0.20% for all-index investment options.