When we launched Wealthfront in December 2011, the idea behind our first generation service was simple: take the best practices of investment management like diversification, rebalancing, dividend reinvestment and tax-loss harvesting, and automate them so investors could get these benefits without the high fees and high minimums of the traditional industry. The advent of low-cost ETFs and the relentlessly improving economics of consumer software made Wealthfront 1.0 possible. In December 2013, we launched Wealthfront 2.0. Our second generation service built a series of high value-added services that previously were only available to the wealthy, and layered them on top of our basic service. These innovative services include our Direct Indexing Platform, Single-Stock Diversification Service, and Automated Tax-Minimized Brokerage Transfers.

On Thursday, Wealthfront CEO Adam Nash revealed what he calls Wealthfront 3.0, the latest version of the automated investment advisor built for increased artificial intelligence and the integration of modern application program interfaces (APIs). Nash believes AI could have an even bigger impact on the financial services industry than automated advice. On the Wealthfront blog, Nash said the "entire fabric of the financial system will be rethought, redefined and rewired," and he says the time to start preparing for that future is now. "We are entering the realm of building our platform for the future," Nash told WealthManagement.com. "[We have] a huge opportunity to deliver financial advice that's deeply personalized and relevant while getting a platform in place for AI's increasing role."

When we launched Wealthfront in December 2011, the idea behind our first generation service was simple: take the best practices of investment management like diversification, rebalancing, dividend reinvestment and tax-loss harvesting, and automate them so investors could get these benefits without the high fees and high minimums of the traditional industry. The advent of low-cost ETFs and the relentlessly improving economics of consumer software made Wealthfront 1.0 possible. In December 2013, we launched Wealthfront 2.0. Our second generation service built a series of high value-added services that previously were only available to the wealthy, and layered them on top of our basic service. These innovative services include our Direct Indexing Platform, Single-Stock Diversification Service, and Automated Tax-Minimized Brokerage Transfers.