Investing can often feel like navigating a maze—full of twists, turns, and uncertainties. When I first dipped my toes into the world of investing, I was overwhelmed by the number of robo-advisors available in Malaysia.
After much contemplation and research, I found myself at a crossroads: should I choose StashAway or Wahed?
In this blog post, I want to take you along on my journey of exploring these two robo-advisors. After reading this blog post, you can start or finally take the leap to start investing in one of these two robo-advisors.
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- Rakuten Trade – Buy US ETFs like VOO on a local platform and earn 1 RT Point for every RM1 in brokerage fees. Start investing here.
- Wahed – Get Shariah-compliant global investing with S&P 500-style exposure and receive an RM10 bonus when you deposit RM300 with my referral code “PAAEMI1”. Start investing now.
- Moomoo Malaysia – Invest in US ETFs using a beginner-friendly app and enjoy chances to win Tesla shares, Apple stock rewards, plus up to 5% p.a. on idle cash. Sign up & get rewards.
- StashAway – Invest hands-free with S&P 500 ETF exposure and get up to RM30,000 managed for free for 6 months. Start investing today.
- Wise – Fund your US investments at real exchange rates with zero fees on transfers up to £500. Create a free Wise account.
Overview of StashAway
What is StashAway?
StashAway is a digital wealth management platform designed to make investing accessible and hassle-free for everyone.
Founded in Singapore in 2016, it has quickly gained traction across Southeast Asia, offering a range of portfolios that cater to different risk appetites and investment goals.
StashAway’s main attraction is its data-driven, algorithm-based investment approach, which aims to provide users with a diversified portfolio tailored to their specific risk level and financial goals.
Key Features of StashAway
One of StashAway’s standout features is its intelligent risk management framework, known as ERAA™ (Economic Regime-based Asset Allocation).
This system dynamically adjusts your portfolio based on current economic conditions, balancing risk and reward according to the market environment.
Here’s a look at some other unique features that make StashAway appealing:
Customizable Portfolios: StashAway allows investors to choose portfolios aligned with various goals, from retirement savings to income generation or capital growth. StashAway also allows investors to build and customize your own Flexible Portfolios from 60+ different asset classes, from the S&P 500 to Emerging Markets, Healthcare, Blockchain, and more!
Low Fees: With management fees ranging from 0.2% to 0.8% per year, StashAway keeps costs transparent and accessible, even for beginner investors.
Goal-Based Investing: The platform enables users to set up multiple portfolios tailored to important life goals, like buying a home or funding a child’s education.
Personal Experience with StashAway
When I first joined StashAway, I found the onboarding process intuitive and informative. The platform walked me through a short questionnaire to assess my risk tolerance, investment goals, and time horizon.
Based on my answers, StashAway recommended a balanced portfolio with allocations across various asset classes, including equities, bonds, and even commodities.
In the end, I decided to invest 99% of my funds into an IVV (iShares Core S&P 500 ETF), which provides me with nearly direct access to the S&P 500’s growth without having to navigate complex asset selection.
Read my article about my review using StashAway Malaysia!
Overview of Wahed
What is Wahed?
Wahed, or Wahed Invest, is a robo-advisor that caters specifically to those seeking ethical or shariah-compliant investment options.
Founded in the United States, it has since expanded globally, including a presence in Malaysia.
Wahed’s goal is to provide accessible, shariah-compliant investment opportunities for anyone looking to grow their wealth in a way that aligns with Islamic principles.
Key Features of Wahed
Wahed’s unique offering lies in its commitment to shariah-compliant investments. Here’s a breakdown of some standout features:
Shariah-Compliant Portfolios: Wahed only invests in assets that are screened to ensure they comply with Islamic principles.
Low Minimum Investment: Wahed offers a low entry point, making it accessible for beginners or those who want to start small with RM100.
Global and Ethical Diversification: The platform includes a mix of assets, such as Sukuk (Islamic bonds) and shariah-compliant stocks, providing exposure to a variety of industries without compromising on ethics.
Personal Experience with Wahed
My experience with Wahed has been relatively smooth, starting with the onboarding process, which included a series of questions to determine my investment goals and risk tolerance.
One of the main reasons I wanted to try Wahed was its shariah-compliant investment approach.
Although I don’t actually need a shariah-compliant investment, I found it reassuring to know my money was allocated in an ethical and responsible manner.
Setting up my account was straightforward, and within a few days, I was able to see my initial investments in action.
I did encounter a minor challenge: after mistakenly choosing to invest in gold, I couldn’t immediately switch to a U.S. ETF.
Instead of waiting an additional 3–4 days for the Wahed team to transfer my investment from the gold fund to the U.S. ETF, I opted to create an entirely new investment account within Wahed for quicker access.
In the end, I invested in the Wahed FTSE USA Shariah ETF and gold.
Read about my review using Wahed Malaysia here!
Side-by-Side Comparison of StashAway and Wahed
Investment Philosophy
StashAway: StashAway’s approach centers around its Economic Regime-based Asset Allocation (ERAA™) model, which adjusts your portfolio based on prevailing economic conditions. This method aims to optimize returns and minimize risk by rebalancing portfolios in response to market trends.
Wahed: Wahed’s primary focus is on ethical, shariah-compliant investing. This means all investments avoid non-shariah compliant industries like alcohol, gambling, and interest-based financial products, appealing to those who prioritize socially responsible investments.
Fees and Costs
StashAway: StashAway’s fees range from 0.2% to 0.8% per year, depending on the portfolio size. This relatively low cost makes it affordable for beginners and those looking to maximize returns without high management fees.
Wahed: Wahed also offers competitive fees, typically around 0.5% to 0.99% annually. While slightly higher than StashAway, the fees reflect the ethical screening and shariah-compliance process required to curate shariah-compliant portfolios.
User Experience
StashAway: StashAway’s platform is highly intuitive, with a sleek design and straightforward interface. The onboarding process is seamless, and the app offers in-depth information on portfolio performance, risk levels, and projected returns, which made it easy for me to understand my investments.
Wahed: Wahed’s platform is user-friendly and offers a clean, minimalist design. The onboarding experience was smooth, but I encountered a minor inconvenience when I had to create a new portfolio after mistakenly choosing to invest in gold instead of a U.S. ETF. Wahed’s interface is otherwise simple to navigate and keeps investment details transparent.
Personal Insights and Lessons Learned
Exploring both StashAway and Wahed has been an enlightening journey, not only for understanding robo-advisor but also for defining what matters to me as an investor.
1. Define Your Values and Goals Early On
One of the most important lessons I’ve learned is the value of aligning my investments with my personal goals and values.
StashAway appealed to my desire for a flexible, data-driven approach, while Wahed allowed me to invest ethically.
Read my article on 3 Easy Ways to Invest in S&P500 as a Malaysian
2. Understand the Fees and Make Informed Choices
While both StashAway and Wahed offer competitive fees, understanding the impact of these fees on my overall returns was eye-opening. I realized that even small differences in management fees can add up over time, especially for long-term investments.
This made me more mindful of costs and helped me make informed choices about which platform aligns best with my financial plans.
3. Flexibility Matters More Than I Expected
My experience with Wahed taught me that flexibility can be a significant factor. When I wanted to switch from gold to a U.S. ETF, I had to create a new portfolio, which took additional time.
In contrast, StashAway offered a smoother process for customizing my portfolio allocations. I now understand the value of a platform that allows for easy adjustments as my goals evolve.
4. It’s Okay to Try Both to Find What Works Best
Starting with two platforms allowed me to experiment and see firsthand which features suited my style and preferences.
This dual-platform approach has given me a richer understanding of what I want in an investment service and taught me that sometimes, trial and error is the best way to learn.
Conclusion
Choosing between StashAway and Wahed was more than just picking a robo-advisor—it was about finding a balance between smart financial strategies and values-driven investing.
Each platform offered something unique: StashAway provided a data-driven, flexible approach, while Wahed gave me peace of mind with its commitment to ethical, shariah-compliant investing.
Ultimately, I’ve come to realize that there’s no single “right” platform; the best choice is the one that aligns with your personal goals, values, and financial vision.
Have you tried StashAway or Wahed, or are you thinking about starting? I’d love to hear about your experiences and any questions you may have!
Drop a comment below to share your thoughts, or feel free to reach out directly to me via email [email protected]
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