Summary

We covered a lot of ground in this chapter, introducing a plethora of new concepts and terminology. First, we built a profile of a user with simple financial planning questions. From there, we used Markowitz’s MPT framework to build risk profiles and portfolios. We looked at how to open accounts to hold our money and investments. We defined the basic types of transactions we will need for our Robo-advisor. Finally, we established the core processes needed to run an operational Robo-advisor.

This will serve as a nice overview if you get lost in the details later on in the book, so feel free to bookmark this for later reference. You should now have a high-level grasp of the task ahead, as we get closer to building our own Robo-advisor, putting together all the elements we’ve introduced in this chapter.

In the next chapter, we will consider two approaches to putting these pieces together – either building a set of algorithms to use piecemeal or building...