Betterment
FeaturedPaidPioneer robo-advisor with goal-based investing and optional human advisor access
📈General InvestingAbout Betterment
Betterment is one of the original and most well-known robo-advisors, managing over $40 billion in assets with a goal-based approach to automated investing. Each investment goal gets its own portfolio with an appropriate asset allocation based on your timeline and risk tolerance. Betterment automatically rebalances portfolios, reinvests dividends, and performs tax-loss harvesting on taxable accounts. The platform offers two tiers: Digital at 0.25% annual fee for fully automated investing, and Premium at 0.40% with unlimited access to certified financial planners for personalized advice.
What's Great
- ✓Goal-based approach creates separate portfolios for each financial objective
- ✓Premium tier offers unlimited access to certified financial planners
- ✓Tax-loss harvesting and tax-coordinated portfolio features included
- ✓No account minimum for the Digital tier
- ✓SRI and ESG portfolio options available for values-aligned investing
Watch Out For
- !Premium tier requires $100,000 minimum and costs 0.40% annually
- !Fewer tax optimization features than Wealthfront at the basic tier
- !Cash management rates may lag behind dedicated high-yield accounts
- !Limited investment options beyond the curated ETF portfolios
Common Use Cases
Goal-oriented saver wanting separate portfolios for retirement, house, and vacation
Investor wanting automated management with occasional access to a human advisor
Socially conscious investor looking for ESG portfolio options
Pricing Model
Paid
Paid subscription required. Check the website for current pricing and free trials.
Category
General Investing
Automated portfolio management for building long-term wealth with diversified ETF portfolios.
Tags
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