Betterment jumps headlong into the 401(k) business spurred by a conviction that even Vanguard Group is unfriendly to investors in this arena
By Lisa Shidler
When executives of robo-advisor Betterment Inc. began shopping around for a 401(k) plan for their employees, the fee-conscious startup zeroed in on The Vanguard Group as a provider.
But vetting the Malvern, Pa. indexing giant was a disillusioning experience with regard to its software’s user-unfriendliness and its pricing, says Betterment’s CEO Jon Stein, and planted the seed of intent to make 401(k) plans a cornerstone of Betterment’s long-term business plan — a plan that has now come to fruition with today’s announcement that the New York-based RIA is diving headfirst into the 401(k) business.Read the Original Article
This article originally published September 11th, 2015 on RIABiz