Wealthfront CEO Adam Nash posted a blog that may have reflected his personal tagline, “inevitably optimistic, slightly amusing, always talking,” but it was very misleading.  We share Adam’s passion for the potential of automated investment services and believe there is a great future ahead for investors who take advantage of the convenience, low-cost and sophisticated investment advice that this approach to investing provides, but he’s presented a very loose interpretation of facts when it comes to Schwab Intelligent Portfolios.  As he concludes at the end of his blog: “The projected results included above are hypothetical only, and do not take into consideration the effect of individual circumstances that could change risk tolerance or future interest rates.  There is a potential for loss as well as gain that is not reflected in the information portrayed.”  Exactly right.

http://aboutschwab.com/index.php/press/statements/response-to-blog-by-wealthfront-ceo-adam-nash