Robo-advisors don't make money from money, they advise and robotically implement people's preferences on how to allocate their own money. Their strategies gener

Robo-advisors don't make money from money, they advise and robotically implement people's preferences on how to allocate their own money. Their strategies generally boil down to making it easy for somebody to buy a diversified portfolio of low-cost ETFs and/or mutual funds, which is pretty standard investment advice for most people. They offer services like offering simple portfolios, rebalancing the portfolio as well as some fairly mechanical accounting tricks like tax loss harvesting. (In contrast, high-frequency trading algorithms are the electronic equivalent of day-traders and do try to make money from money)