Betterment LLC was selected as the Best Overall Robo Advisor for 2024 by the Buy Side from Wall Street Journal on January 12, 2024. It was considered amongst 20 robo advisors based on a criteria including but not limited to, their fees, investment strategies and investor services, including financial planning, tax-loss harvesting and availability of a premium service, with information from the robo advisors’ websites, augmented conversations with communications personnel, and additional third party reports featuring the robo advisors. No compensation was exchanged for this award. The author is a client of Betterment; views may not be representative, see more reviews at theApp Store and Google Play Store. For more information, visit https://www.wsj.com/buyside/personal-finance/best-robo-advisors-01657136733.
Betterment LLC received a 5 star rating from Nerdwallet on October 3, 2023 for a review period of August - October 2023. It was considered amongst an unkown number of competitors, and based on 16 factors, including account fees and minimums, investment choices, customer support and mobile app capabilities; Betterment replied to a Nerdwallet questionnaire that was used in the rating of this award. No compensation was exchanged for this award. The author is not a client of Betterment. For more information, visit https://www.nerdwallet.com/reviews/investing/advisors/betterment
§ App store rating is as of 3.06.2023 and is based upon all ratings and reviews received by Apple App Store® since the Betterment app was launched September 10, 2010. Current rating can be found on Betterment’s App Store and is subject to change. App Store rating is calculated and generated by Apple based on the average of all total app reviews. Count of total ratings and reviews reflects the combined total of App Store rating and Google Play store ratings. No compensation was exchanged for reviews or ratings. Rating may not be representative of the Betterment client experience, advisory services, or investment performance. For more information, see more reviews at the App Store and Google Play Store.
Betterment LLC was designated by Bankrate as one of the Best Robo Advisor for 2024 for Portfolio Management on December 13, 2023. It was considered amongst dozens of competitors, based on cost factors, account features, and customer experience and support. Cash compensation was exchanged to secure licensing rights from Bankrate; © 2024 Bankrate, LLC. The author is a non-paid client of Betterment. For more information, visit Bankrate.com. Views may not be representative, see more reviews at the App Store and Google Play Store.
Betterment LLC received the Best Robo-Advisor Award from The Ascent, a Motley Fool service on March 7, 2023 for the 2023 calendar year. It was considered amongst an unkown number of competitors based on investing costs, customer service and support, trading platform and mobile app, and investment variety. No compensation was exchanged for this award. This recognition may not be representative of Betterment client experience, advisory services, or investment performance. For more information, visit https://www.fool.com/the-ascent/buying-stocks/best-robo-advisors/betterment-review/.
Betterment LLC received the best overall Robo-Advisor Of 2023 from Forbes Advisor on 1/1/2023 for the duration of 2022 It was considered amongst more than 40 robo-advisor products based on customer experience, their portfolios’ overall performance, account minimums, availability of human advisors, financial planning capabilities, level of transparency about potential conflicts of interest, size and tenure, and investment and management costs. Cash compensation was exchanged to secure licensing rights from Forbes; © 2023 Forbes Media LLC. The author is a client of Betterment. See here for more information.
Betterment LLC was awarded the Best Robo-advisor Cash Management Account for 2023 by Investopedia on November 3, 2023 for the 2023 calendar year. It was considered amongst 19 competitors based on 57 criteria, including APY rates, services offered, fees, and more. Betterment responded to Investopedia's digital survey and provided a platform demo. No compensation was exchanged for this award; the author is not a client of Betterment. For more information, visit https://www.investopedia.com/best-robo-advisor-cash-management-accounts-for-2023-7975978
Betterment for Business was designated by Bankrate as one of the Best 401(k) Plans of 2024 on January 21, 2024 for 2024 thus far. It was considered amongst an unknown number of competitors, based on cost, types of available plans, customer support, investment funds, and education & advice. No compensation was exchanged for this award. The author is a client of Betterment. For more information, visit https://www.bankrate.com/retirement/best-401k-plans/.
Based on actual advisory fees paid on taxable accounts only for Betterment individual retail client users in 2022. Tax savings calculations are based on clients’ self-reported income, tax filing status, and reported number of dependents, and they assume the standard deduction. Betterment’s calculations do not take into account the effects of any trades that may have occurred outside of Betterment in clients’ external accounts. This figure pertains to 2022 only, and does not consider any losses or gains from prior years. Note that harvest opportunities vary depending on market conditions in a given calendar year; 2022 may not be representative. Tax savings through TLH+ are not a measure of investment performance and results are not guaranteed. Please see Betterment’s TLH+ White Paper and TLH+ Disclosure for more information. Betterment is not a licensed tax advisor. Tax Loss Harvesting+ (TLH+) is not suitable for all investors, and certain conditions apply; consider your personal circumstances before deciding whether to utilize Betterment’s TLH+ feature.
Calculation as of 12/31/2023, and reflects the average individual rate of return for composites of funded retail taxable and IRA accounts in the Core portfolio strategy with a 90/10 stock-to-bond allocation. Users in the “auto-deposit on” groups earned an additional 6% annualized over 10 years, 1% annualized over 5 years, and 6% over the last year. The “auto-deposit on” groups include clients with auto-deposit turned on for at least 90% of the days in the relevant period. The “auto-deposit off” groups include clients with auto-deposit turned off for at least 90% of the days in the relevant period. Note that due to the eligibility criteria for Betterment’s advisory fee tiers, clients in the “auto-deposit off” groups are more likely to have been subject to Betterment’s $4 monthly fee in 2023, and this may have impacted their returns, along with other factors.
For Cash Reserve (“CR”), Betterment LLC only receives compensation from our program banks; Betterment LLC and Betterment Securities do not charge fees on your CR balance.
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The annual percentage yield ("APY") on the deposit balances in Betterment Cash Reserve ("Cash Reserve") is 5.00% and represents the weighted average of the APY on deposit balances at the banks participating in Cash Reserve (the "Program Banks") and is current as of April 2, 2024. This APY is variable and subject to change daily. Deposit balances are not allocated equally among the participating Program Banks. A minimum deposit of $10 is required, but there is no minimum balance required to be maintained. The APY available to a customer may be lower if that customer designates a bank or banks as ineligible to receive deposits. APY applies only to Cash Reserve and does not apply to checking accounts held through Betterment Checking. Cash Reserve and Betterment Checking are separate offerings and are not linked accounts.
See Betterment's Form ADV Part II and Terms and Conditions for additional information, including details on the deposit allocation methodology.
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The national average savings account interest rate is reported by the FDIC (as of March 18, 2024) as the average annual percentage yield (APY) for savings accounts with deposits under $100,000.
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Betterment Cash Reserve ("Cash Reserve") is offered by Betterment LLC. Clients of Betterment LLC participate in Cash Reserve through their brokerage account held at Betterment Securities. Neither Betterment LLC nor any of its affiliates is a bank. Through Cash Reserve, clients' funds are deposited into one or more banks ("Program Banks") where the funds earn a variable interest rate and are eligible for FDIC insurance. Cash Reserve provides Betterment clients with the opportunity to earn interest on cash intended to purchase securities through Betterment LLC and Betterment Securities. Cash Reserve should not be viewed as a long-term investment option.
Funds held in your brokerage accounts are not FDIC-insured but are protected by SIPC. Funds in transit to or from Program Banks are generally not FDIC-insured but are protected by SIPC, except when those funds are held in a sweep account following a deposit or prior to a withdrawal, at which time funds are eligible for FDIC insurance but are not protected by SIPC. See Betterment Client Agreements for further details. If you participate in Cash Reserve, you authorize Betterment, on a discretionary basis, to direct Betterment Securities as to the allocation of your funds among one or more Program Banks. Deposits at each Program Bank are insured by the FDIC up to $250,000 for each insurable capacity (e.g. individual or joint). In aggregate, funds deposited into Cash Reserve are eligible for up to $2,000,000 (or $4,000,000 for joint accounts) of FDIC insurance once the funds reach one or more Program Banks (up to $250,000 for each insurable capacity—e.g., individual or joint—at up to eight Program Banks). Even if there are more than eight Program Banks, clients will not necessarily have deposits allocated in a manner that will provide FDIC insurance above $2,000,000 (or $4,000,000 for joint accounts). The FDIC calculates the insurance limits based on all accounts held in the same insurable capacity at a bank, not just cash in Cash Reserve. Although certain types of accounts, such as trust accounts may be eligible for additional FDIC insurance based on the number of beneficiaries, funds will be allocated to each Program Bank in such a way that provides up to $250,000 of FDIC insurance for individual accounts, $500,000 of FDIC insurance for joint accounts, and $250,000 of FDIC insurance for trust and other corporate account types, in each case per Program Bank. In the event you maintain an individual or joint Cash Reserve account and are a beneficiary of a Cash Reserve trust account, Betterment does not provide FDIC insurance based on your status as a beneficiary. If clients elect to exclude one or more Program Banks from receiving deposits the amount of FDIC insurance available through Cash Reserve may be lower. Clients are responsible for monitoring their total assets at each Program Bank, including existing deposits held at Program Banks outside of Cash Reserve, to ensure FDIC insurance limits are not exceeded, which could result in some funds being uninsured. For more information on FDIC insurance please visit www.FDIC.gov. Deposits held in Program Banks are not protected by SIPC. For more information see the full terms and conditions and Betterment LLC's Form ADV Part 2.
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App store rating is as of 3.06.2024 and is based upon all ratings and reviews received by Apple App Store® since the Betterment app was launched September 10, 2010. Current rating can be found on Betterment’s App Store and is subject to change. App Store rating is calculated and generated by Apple based on the average of all total app reviews. Count of total ratings and reviews reflects the combined total of App Store rating and Google Play store ratings. No compensation was exchanged for reviews or ratings. Rating may not be representative of the Betterment client experience, advisory services, or investment performance. For more information, see more reviews at the App Store and Google Play Store.
The reported customer count of 850,000+ is as of Feb. 29, 2024, and is inclusive of checking and investing clients.
Betterment's reported assets under management (AUM) of $45+ Billion is as of Feb. 29, 2024.
This experience and any marketing of the experience are provided by Betterment LLC. To the extent that there is marketing related to Betterment Checking, it is provided by Betterment Financial LLC.
The articles and client support materials available are educational only and not investment or tax advice.
We want you to know a few things:
Who Provides What Service?
Investment Advice: Advisory services for traditional investments (e.g., ETFs) and digital assets are provided by Betterment LLC, an SEC-registered investment adviser. Betterment LLC also offers the Betterment Cash Reserve product. Betterment LLC does not require clients to maintain a minimum investment account balance. However, accounts below a certain balance may have certain restrictions. For more information, please see additional disclosure.
Traditional Investment Brokerage Services & Custody: Brokerage services are provided to clients of Betterment LLC by Betterment Securities, an SEC-registered broker-dealer and member of FINRA /SIPC, and Apex Clearing Corporation, a third-party SEC registered broker-dealer and member FINRA/SIPC.
Digital Asset Trading Services & Custody: Digital asset trading services and custody are provided by Gemini Trust Company, LLC. For further details regarding the custody of assets, including cash, held at Gemini Trust Company, please see your Gemini user agreement.
Betterment Checking: Betterment Checking is made available through Betterment Financial LLC. Checking accounts and the Betterment Visa Debit Card provided by and issued by nbkc bank, Member FDIC. Neither Betterment LLC nor Betterment Financial LLC, nor any of their affiliates, is a bank.
Let’s Talk About Risk:
Investing involves risk and there is the potential of losing money when you invest in securities and digital assets. Past performance does not guarantee future results and the likelihood of investment outcomes are hypothetical in nature.
Investments in securities and digital assets are: Not FDIC Insured • Not Bank Guaranteed • May Lose Value.
Furthermore, investing in digital assets is highly speculative and volatile, and only suitable for investors who are able to bear the risk of potential loss and experience sharp drawdowns. Digital assets are not legal tender and are not backed by the U.S. government. Digital assets are not subject to SIPC protections.
Before investing, consider your investment objectives and Betterment LLC's fees and expenses. Betterment LLC's internet-based advisory services are designed to assist clients in achieving discrete financial goals. They are not intended to provide comprehensive tax advice or financial planning with respect to every aspect of a client's financial situation and do not incorporate specific investments that clients hold elsewhere. For more details, see Betterment’s Form CRS, Form ADV Part II and other disclosures.
Not an offer, solicitation of an offer, or advice to buy or sell securities in jurisdictions where Betterment LLC is not registered.
Who Provides the Market Data?
Market Data by Xignite. Fund data © 2022 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.