The robo tempest in a teapot is the latest in a long line of innovations or advances that create issues for the regulators.  Most innovations are by white-hatted entities that want to move the ball forward, but the regulator must look at who will play with a black hat.

For example, Portus used a banking structure but acted like an asset manager.  Since the banking regulator looked at bank solvency not investment efficacy the whole thing ended in tears.

The issue for retail in Canada is to get behind a fiduciary rule.  (Trump is reviewing and considering stopping that plan.  It is a success in the UK.)

Those with enough wealth need to look at how the CPP and Ontario Teachers invest and learn from them.  Sadly, some aspects are difficult based on investor protection - think avoiding black hats - but most is doable.

The robo people have two issues, poor asset allocation methodologies and expensive third party product.  Once solved, they will be a force, until then a distraction.