The Financial Times recently announced its 2016 list of the top 300 Registered Investment Advisors (RIAs) in the country, and we’re honored that Betterment made the list for a second year in a row.
We’re thrilled to appear alongside so many of our respected peers in the industry, and especially with four firms currently using Betterment’s advisor platform, Betterment for Advisors.
The list was produced independently by The Financial Times, in collaboration with Ignites Research, a Financial Times subsidiary that provides business intelligence on the investment management industry.
In a Class of Our Own
Not only did Betterment make the list, but we were acknowledged as the fastest-growing firm among those listed.
Betterment manages $4.8 billion for its more than 170,000 customers, compared to the average FT 300 firm, which has been in existence for 22 years and manages $2.6 billion in assets.
We had a tremendous year of growth in 2015, securing well over $2 billion in additional assets under management, from both new customers and existing customers who increased their investments with us.
What’s apparent is that the appetite for low-cost, transparent, and customer-aligned advice is growing.
Checking All the Boxes
The list featured an elite group (not a competitive ranking) of companies from states nationwide, while accounting for each firms’ various specializations.
According to The Financial Times, the key criteria for an RIA to be named was based on a formula comprising six broad factors and definitions, which are:
- Assets under management (AUM): Signals experience managing money and client trust.
- Asset growth: A proxy for performance, as well as for asset retention and the ability to generate new business. (The Financial Times assessed companies on both one-year and two-year growth rates.)
- Company age: Indicates reliability and experience of managing assets through different market environments.
- Industry certifications of key employees: Certifications (e.g., CFA, CFP distinctions) show technical and industry knowledge, and signal a professional commitment to investment skills.
- SEC compliance record: Provides evidence of past client disputes; a string of complaints can signal potential problems, and,
- Online accessibility: Demonstrates a desire to provide easy access and transparent contact information.
Betterment consistently measures up to this criteria by offering our platform and award-winning customer service to three distinct business lines: Betterment retail, Betterment for Business (our 401(k) business), and Betterment for Advisors (for wealth advisors).
Get Started with Betterment
To get started with a Betterment account, customers can sign up today. We make it easy to automate deposits, create new Individual Retirement Accounts (IRAs), or roll over existing retirement accounts.
We handle investments so customers don’t have to, and we offer a globally diversified portfolio of index-tracking exchange-traded funds (ETFs), with personalized advice in a goal-based investing framework.
Customers can also easily sync all of their outside accounts with Betterment so they can view all their finances in one place. We can then offer better advice around their entire financial picture. Then, they can use RetireGuide, our retirement planning tool, to help achieve a more comfortable retirement based on when and where they plan on retiring, as well as their current and anticipated income. Finally, everything we do is designed to help customers save money on taxes.
Our customer support team is available seven days a week to answer any questions. Get started today.
The 2016 Financial Times 300 Top Registered Investment Advisors is an independent listing produced by The Financial Times (June, 2016). The FT 300 is based on data gathered from RIA firms, regulatory disclosures, and The Financial Time’s research. Neither the RIA firms nor their employees pay a fee to The Financial Times in exchange for inclusion in the FT 300.
When deciding whether to roll over a retirement account, you should carefully consider your personal situation and preferences. The information on this page is being provided for general informational purposes and is not intended to be an individualized recommendation that you take any particular action.
Factors that you should consider in evaluating a potential rollover include: available investment options, fees and expenses, services, withdrawal penalties, protections from creditors and legal judgments, required minimum distributions, and treatment of employer stock. Before deciding to roll over, you should research the details of your current retirement account and consult tax and other advisors with any questions about your personal situation.