OpenInvest Review: Invest With Your Values

OpenInvest Fee

Fees 0.50% Per Year
Minimum Investment $3,000
Types of Accounts available Individual/joint investment accounts, and traditional, ROTH, and SEP IRAs
Advisor type Robotic + Human(Optional)
Asset Under Management Less Than $1 Billion
Access Computer, IOS and Android

OpenInvest Review 2017

Conor Murray and Phil Wei, Co-founders of OpenInvest met each other building financial systems for on the largest hedge fund, Bridgewater Associates. They conceived the idea of OpenInvest during their time together at Bridgewater Associates. They created OpenInvest to bring their personal interests and professional skills on one platform. Their personal interests are aligned with global causes like climate change, equal rights etc. utilizing their professional skills in constructing advanced, customized investment strategies.  A short while after starting OpenInvest they met Josh Levin(Co-founder of  OpenInvest) who was working as a sustainable finance expert with one of the world's largest environmental organization, the world wildlife fund.  OpenInvest is backed up by Y Combinator, Silicon Valley Leaders, and impact investing experts, they were on their way to change Robo-Advisors industry for good.

OpenInvest is backed by a strong team of advisors from all walks of life and working with multiple organizations. This allows  OpenInvest to diversify their approach of investment advisory and helping them to find the best way of transforming the way we invest.

Unique Feature of OpenInvest

The most amazing thing about OpenInvest is their initiative towards socially responsible investing. According to The Forum for Sustainable and Responsible Investment SRI, socially responsible investing is a discipline  that considers environmental, social and corporate governance (ESG) criteria to generate long-term competitive financial returns and positive societal impact.” SRI in equities usually involves either negative or positive screening to identify companies with better social, environmental, or governance track-records.

The founders of OpenInvest had a clear intention in mind when they started OpenInvest to create a platform where people can indulge in socially responsible investing. Carrying on to their ambition OpenInvest now offer more than 11 major causes where you can invest your funds, enjoy the benefits of investing and feel the satisfaction of being a part of a greater cause.

The Impact you make with OpenInvest is multifaced:

  1. Sending Signals: When you invest in socially responsible companies you send signals to the shareholders who constantly monitors the flow of investments.
  2. Cost of Capital: When you deny to invest or do not invest in one company you create a direct impact on the demand for that share. If the price of that share goes down it affects executive compensation and incentives and the company's ability to attract additional talent and makes it more difficult for the company to raise more funds.
  3. Moral Complicity: Just like recycling or voting, responsible investing have a marginal individual impact but it has a major collective effect.
  4. Shareholder Vote: When you own shares of a company, the CEO's of the company directly works for you and the board of directors fetch the update from the CEO for you. These equities also give you the authority to vote on shareholder resolutions.

Best Features of OpenInvest

Impact Investing

OpenInvest is a Public Benefit Corporation which is the leading Impact Investing Robo-Advisor firm. The investment opportunities that are available at OpenInvest are dedicated to creating an impact from Day 1. The real change is happening on the ground and OpenInvest provides you an opportunity to be a part of the change by providing great impact investment opportunities.

Tax-Loss Harvesting

OpenInvest provides you tax optimization at the individual equity level on all the accounts which provides greater tax savings than harvesting at the fund level. By plucking out those equities which will cause you a higher tax loss due to their nature of investment or you can say due to their current condition in the market, OpenInvest saves a higher amount of tax compared to the other tax harvesting tools.

Account Flexibility

OpenInvest supports various types of accounts and gives you the complete freedom to choose the type of account that benefits you the most. OpenInvest support individual/joint investment accounts, and traditional, ROTH, and SEP IRAs. Every investor understands that the importance of the type of account you create for investing and by having a choice of various types of accounts, you can derive the best out of your investment. You only need $3000 to get started investing in the future today.

No Hidden Fees

OpenInvest does not charge any hidden fees ever. They charge a single, transparent annual fee of 0.5% of assets. Apart from this fees, they do not charge any other underlying ETF/mutual fund expenses or other commonly hidden Fees. This makes it very easier for the investors to plan their investment as they have a clear understanding of what's being charged for them in return for the services provided by OpenInvest.


Good Security is a never-ending ongoing process which is regularly going on. OpenInvest organizes regular checks for any type of breach in layers of protection enabled by them. They have enabled a Multi-factored authentication system for all online services to ensure that none of the accounts can be compromised. All the internal servers are locked down by IP and port to ensure reduced visibility to external attackers. All entry points to their servers require secure access and if you try to sneak in without proper authentication you will always be redirected to https instead of HTTP.

Brief on the portfolio of investment

OpenInvest portfolios are designed as a combination of-

1) An array of equities(Stocks) which performance curves are similar to that of S&P500 and they reflect what you believe in.

2) A fund that consists of bonds to create diversification.

OpenInvest provides an option to invest in traditional or green bond funds. This creates a much more diverse portfolio to track the market performance and OpenInvest plans on adding more asset classes into their portfolio to make it much more diverse and return oriented.

Their portfolio is a Passive one and they don't believe in changing the portfolio bases on any alpha views, attempting to beat the benchmark or anything that isn't simply rebalancing and tracking the performance of the overall market.

OpenInvest also allows you to check what is hiding in your portfolio's with other investment firms. You can check the portfolio details of S&P 500, Vanguard Total Market ETF, Vanguard Dividend ETF (VIG), Vanguard Value ETF (VTV), Wealthfront, Betterment & Vanguard Mid-Cap Value ETF (VOE). It gives you a better understanding as to where your funds are going.

Summary: OpenInvest

OpenInvest is one of the most amazing Robo-Advisor services available at this point. They have a very clear vision as to what they want to offer to their clients and how they can do that. Their initiative to provide socially responsible investment opportunities is a great thing and it is their uniquAlthough

Althought OpenInvest is a very good platform to invest but if we look at it only from the perspective of a investor who is looking to make his/her money work for him and get the best result out his/her investment then OpenInvest lack a lot features and services that one would expect from a Robo-Advisor services.