Is Edelman Financial Engines Good? A Comprehensive Review

If you’re thinking about entrusting your retirement savings to a financial advisor, you’re probably looking for someone reliable and trustworthy. That’s why you may be wondering: is Edelman Financial Engines good? After all, the company has been a leading player in the industry for over three decades, with many positive reviews and testimonials to back up their claims.

But it’s not just about reputation – you want to know whether Edelman Financial Engines can deliver results for your specific financial situation. Are their advisors knowledgeable and experienced? Do they offer a wide range of investment options? Are their fees transparent and reasonable? These are all valid questions to ask before you decide whether to work with them or not.

In this article, we’ll take a closer look at what Edelman Financial Engines has to offer, and weigh the pros and cons of working with them. Whether you’re a seasoned investor or just starting out, you’ll find valuable insights and tips to help you make an informed decision about your financial future. So buckle up and let’s dive in!

Overview of Edelman Financial Engines

If you are looking for a reliable financial advisor, you may have heard of Edelman Financial Engines. This company was founded by Ric Edelman, a well-known author, radio host, and advisor in the financial industry. With over 30 years of experience, Edelman is a respected figure in the finance world and has worked with thousands of clients to help them achieve their financial goals.

  • Edelman Financial Engines is a registered investment advisory (RIA) firm that provides investment management and financial planning services to individuals and institutions.
  • The company has over $200 billion in assets under management, making it one of the largest independent investment advisory firms in the country.
  • Edelman Financial Engines utilizes technology to provide personalized investment advice to clients, using algorithms and data analysis to create customized investment portfolios.

One of the unique features of Edelman Financial Engines is their investment methodology. They utilize Modern Portfolio Theory to create portfolios that are diversified across different asset classes and risk levels, with the goal of maximizing returns while minimizing risk. They also focus on tax-efficient investing, using strategies to minimize taxes on investment returns.

Services offered by Edelman Financial Engines

Edelman Financial Engines is a well-known financial advisory firm that specializes in managing investment portfolios for individuals and institutions. The firm offers a wide range of services that aim to improve the financial well-being of its clients. Here are some of the services that Edelman Financial Engines offers:

  • Investment management: Edelman Financial Engines provides clients with personalized investment portfolios that are designed to meet their specific goals and risk tolerances. This service is aimed at maximizing returns while minimizing risks.
  • Retirement planning: The firm offers retirement planning services that cover everything from choosing the right retirement plan to managing retirement income. The goal is to help clients achieve financial security in retirement.
  • Estate planning: Edelman Financial Engines helps clients ensure that their assets are distributed according to their wishes after they pass away. This service involves creating wills, trusts, and other estate planning documents.

One of the unique aspects of Edelman Financial Engines is that they use cutting-edge technology to help clients manage their portfolios. They have a proprietary online platform that provides clients with real-time access to their investments, as well as tools to help them track their progress towards their goals.

In addition to these core services, Edelman Financial Engines also offers a range of specialized services that are tailored to the needs of specific clients. For example, they offer financial advisory services to small business owners and investment management services to institutions.

Overall, Edelman Financial Engines is a highly respected financial advisory firm that offers a wide range of services to help clients achieve their financial goals. Whether you are an individual looking to manage your investments or an institution looking for expert investment management, Edelman Financial Engines has something to offer.

Pros and Cons of Edelman Financial Engines

Edelman Financial Engines is a well-known investment advisory firm that offers a combination of financial planning and investment management services. However, like any other investment advisory firm, Edelman Financial Engines have their own set of advantages and disadvantages.


  • Expertise: Edelman Financial Engines has a team of experienced financial advisors who have the knowledge and skills to help clients achieve their financial goals. They have a wide range of certifications, including Certified Financial Planner (CFP), Chartered Financial Analyst (CFA), and Certified Investment Management Analyst (CIMA).
  • Diversification: Edelman Financial Engines offers a diverse range of investment options to reduce the risk to the portfolio while increasing the returns. They use a sophisticated algorithm to allocate investments based on the client’s goals, risk tolerance, and time horizon.
  • Transparency: Edelman Financial Engines has a transparent fee structure that is easy to understand. They charge a percentage of assets under management, and their fees range from 0.50% to 1.5% annually. Clients know exactly what they are paying for and what services they will receive.


While there are many advantages to working with Edelman Financial Engines, there are also some drawbacks to consider:

  • Higher Fees: Edelman Financial Engines charges higher fees compared to some of the other investment advisory services in the market. While the fees are transparent, they might not be affordable for individuals with smaller portfolios.
  • Not for Active Traders: Edelman Financial Engines is designed for long-term investors who want a buy-and-hold strategy. Active traders who want to make frequent trades may not find this service to be suitable for their needs.
  • No Customization: While Edelman Financial Engines offers a diverse range of investment options, they do not cater to individual preferences or beliefs. Clients cannot specify which companies or industries they want to avoid or invest in.


Edelman Financial Engines is a reputable investment advisory firm that offers a range of financial planning and investment management services. However, clients should carefully consider the pros and cons before deciding to work with them. While their expertise, diversification, and transparency are attractive, their higher fees, lack of customization, and unsuitability for active traders might be unattractive to some clients.

Pros Cons
Expertise Higher Fees
Diversification Not for Active Traders
Transparency No Customization

There is no perfect investment advisory firm, and clients should do their due diligence before deciding which option is suitable for their unique financial goals and needs.

Customer Experiences with Edelman Financial Engines

As one of the largest independent financial planning and investment management firms in the nation, Edelman Financial Engines has helped over 1 million clients reach their financial goals. Here are some personal accounts of customer experiences that showcase the success of their services.

  • “From the moment I met with my financial planner, I knew I was in good hands. They created a customized plan that was tailored to my specific needs and goals. They have provided exceptional guidance and support throughout the years and I couldn’t be happier with the results.” – Sarah W.
  • “I was hesitant to trust anyone with my finances, but after working with Edelman Financial Engines, I can confidently recommend their services. They are knowledgeable, responsive, and truly care about their clients. Thanks to their guidance, I was able to retire early without any financial worries.” – John P.
  • “Edelman Financial Engines helped me consolidate my accounts and make informed decisions about my investments. They have been proactive in adjusting my portfolio to ensure it aligns with my risk tolerance and financial goals. I appreciate their transparency and willingness to educate me along the way.” – Rachel M.

Expert Financial Guidance

What sets Edelman Financial Engines apart is their team of experienced financial advisors who provide personalized advice to clients. They take the time to understand each individual’s unique financial situation and create a comprehensive plan that addresses their needs and objectives. Their goal is to help clients achieve long-term financial success, whether it’s planning for retirement, saving for a child’s education, or managing debt.

Throughout the process, they provide ongoing support and communication to ensure clients stay on track towards their goals. With a fiduciary duty to act in their clients’ best interest, they prioritize transparency and honesty in their interactions.

Transparent Fees and Performance

Another positive aspect of Edelman Financial Engines is their clear and straightforward fee structure. They charge a flat fee for their services, which includes financial planning, investment management, and ongoing support. There are no hidden fees or commissions, so clients can trust that they are receiving unbiased advice.

Portfolio Size Annual Fee
Less than $1 million 1.50%
$1 million – $2 million 1.25%
$2 million – $5 million 1.00%
$5 million or more 0.75%

In addition to their transparent fees, Edelman Financial Engines is committed to providing clients with regular updates on their portfolio performance. They offer a personalized online dashboard that allows clients to track their investments and review their progress towards their financial goals. With this level of transparency, clients can feel confident that their investments are being managed effectively.

Fees and charges of Edelman Financial Engines

When it comes to choosing the right financial advisor, one of the most important factors to consider is their fee structure. Edelman Financial Engines is no exception. Here’s what you need to know about the fees and charges of Edelman Financial Engines:

  • Annual Fee – Edelman Financial Engines charges an annual fee based on a percentage of the assets under management. This fee is typically around 0.50% to 1.50% of the total assets being managed.
  • Minimum Investment – The minimum investment required to work with Edelman Financial Engines is $5,000.
  • Transaction Fees – Edelman Financial Engines doesn’t charge any transaction fees. This means that you won’t be charged a fee for buying or selling securities.

Overall, the fee structure of Edelman Financial Engines is relatively straightforward and transparent. While the annual fee may seem high to some, it’s important to remember that this fee includes a wide array of financial services that can help you make the most of your money.

Summary of Fees and Charges

Fee Amount
Annual Fee 0.50% – 1.50%
Minimum Investment $5,000
Transaction Fees No Fees

While there are certainly cheaper financial advisors out there, Edelman Financial Engines is worth considering if you’re looking for a full-service financial advisor with a strong track record of performance and customer satisfaction. Just be sure to weigh the costs against the benefits of their services to determine if it’s the right fit for you.

Alternatives to Edelman Financial Engines

While Edelman Financial Engines is a reputable financial advisor, it may not be the best fit for everyone’s financial needs. Here are some alternatives to consider:

  • Vanguard Personal Advisor Services: This service offers a low-cost, human advisor with a $50,000 minimum investment.
  • Ellevest: This advisor is designed specifically for women and offers a personalized investment plan based on individual goals and lifestyle choices.
  • Personal Capital: This advisor offers a free financial tool to track all your accounts and assets in one place and provides professional advisory services with a $100,000 minimum investment.

If you’re looking for a DIY approach, there are also plenty of investment platforms that allow you to manage your own portfolio like:

  • Wealthfront: This platform offers automated investing with a focus on low-cost index funds and no account minimums.
  • Betterment: This platform offers automated investing with a focus on tax-efficient investing and socially responsible portfolios with a $0 minimum account balance.
  • Robinhood: This platform offers a commission-free trading app for stocks, options, and ETFs with no minimum account balance.

If you’re still unsure which option is right for you, it may be worth speaking with a fee-only financial advisor for personalized guidance. Look for a Certified Financial Planner (CFP) who has fiduciary duty to act in your best interest and avoid conflicts of interest.

Advisor Name Account Minimum Fee Structure
Vanguard Personal Advisor Services $50,000 0.30% annual fee
Ellevest No minimum 0.50%-0.60% annual fee
Personal Capital $100,000 0.89%-0.49% annual fee depending on account balance

Ultimately, finding the right financial advisor or investment platform comes down to your individual needs, goals, and preferences. Do your research and compare options carefully before making a decision.

Comparison of Edelman Financial Engines with other financial advisors

Edelman Financial Engines is one of the most well-known financial advisors in the industry. Here, we will compare it with some of the other top financial advisors out there to see how it stacks up.

  • Fidelity Investments: Fidelity is a well-known financial advisor that offers a range of services, including investment management, financial planning, and retirement planning. While Fidelity does offer some lower-cost options than Edelman Financial Engines, its fees can still be higher than those of other advisors.
  • Vanguard Personal Advisor Services: Vanguard is another popular financial advisor that offers investment management and financial planning. Vanguard’s fees are generally lower than Edelman Financial Engines, but it does not offer some of the additional services, such as tax planning and estate planning, that Edelman does.
  • The Vanguard Group: The Vanguard Group is a broker-dealer and asset manager that offers a range of investment products and services. While Vanguard’s fees are generally lower than Edelman’s, it does not offer as much personalized financial planning.

In terms of investment strategies, Edelman Financial Engines offers a diverse range of options, including actively managed portfolios, index-based portfolios, and socially responsible investing. It also offers tax loss harvesting, which can help clients reduce their tax burden.

When it comes to customer service, Edelman Financial Engines has a dedicated team of advisors who work with clients to develop personalized financial plans. They also use technology, including an online dashboard, to help clients track their progress towards their financial goals.

Overall, Edelman Financial Engines is a solid choice for those looking for comprehensive financial planning and personalized investment advice. While its fees may be higher than those of some other advisors, it offers a range of services and investment strategies that make it a worthwhile investment.

Advisor Services Offered Investment Strategies Fees
Edelman Financial Engines Financial planning, investment management, tax planning, estate planning Actively managed portfolios, index-based portfolios, socially responsible investing 0.35% to 0.75%
Fidelity Investments Investment management, financial planning, retirement planning Active management and passive management 0.50% to 1.50%
Vanguard Personal Advisor Services Investment management, financial planning Index-based portfolios 0.30%
The Vanguard Group Investment products Index-based products 0.15% to 0.30%

As you can see from the table, Edelman Financial Engines offers a wider range of services than some of the other advisors, which may explain why its fees are higher. However, its investment strategies and customer service offerings make it a solid choice for those looking for a comprehensive and personalized approach to financial planning.

Is Edelman Financial Engines Good? FAQs

1. What is Edelman Financial Engines?

Edelman Financial Engines is a wealth management company that offers its clients personalized investment strategies based on their specific financial goals.

2. What sets Edelman Financial Engines Apart?

Edelman Financial Engines stands out for its combination of human advisors and technology-driven investment advice. Clients can benefit from personalized financial planning and investment advice, as well as continuous portfolio monitoring and optimization.

3. How experienced are the advisors at Edelman Financial Engines?

The advisors at Edelman Financial Engines have an average of 25 years of industry experience. They are all certified financial planners and are committed to providing personalized advice to help clients achieve their financial goals.

4. What investment options are available through Edelman Financial Engines?

Edelman Financial Engines offers a range of investment options, including low-cost index funds and actively managed funds. The company also offers a range of investment strategies based on clients’ risk tolerance and financial goals.

5. How much does it cost to work with Edelman Financial Engines?

The cost of working with Edelman Financial Engines varies depending on the specific services you require. However, the company is transparent about its fees and does not charge account minimums or commissions.

6. Is Edelman Financial Engines a good choice for retirement planning?

Yes, Edelman Financial Engines is a great choice for anyone who wants to plan for their retirement. The company offers a variety of tools and resources to help clients save for retirement and make informed investment decisions.

Closing Thoughts: Thanks for Reading!

We hope this article has answered some of your questions about Edelman Financial Engines and helped you understand why it’s a great choice for anyone looking for personalized investment advice and financial planning. If you have any further questions or would like to learn more about Edelman Financial Engines, please visit their website or contact their customer service team. Thank you for reading, and we hope to see you again soon!