By Arielle O’Shea
There’s a lot of competition in the robo-advisor game, but Betterment, which manages more than $2 billion in assets, is one of the best online investment advisors you can find. It’s no surprise: The service says its clients can expect returns 4.3% higher than the average DIY investor.
How? A combination of diversification, automatic rebalancing, and low management fees. The reduction in management fees alone could save an investor more than $55,000 over 20 years, according to Betterment’s own analysis. Betterment clients pay no commissions or transaction fees, and management expenses are levied on a three-tier basis according to account balance.