Jon Stein: ‘A Problem Better Solved by Sophisticated Technology’ (video)
In a recent sit-down interview, Betterment CEO Jon Stein shared his thoughts on Betterment versus DIY investing.
Originally published: January 28, 2014
Betterment makes sophisticated software that individuals can use to invest in a diversified portfolio with a personalized allocation.
Algorithmic rebalancing and dividend reinvesting keep short-term capital gains to a minimum.
Many people come across Betterment and ask, “Why couldn’t I do this on my own?” Investors can put together a portfolio of funds like the ones we use and do it themselves — but at Betterment, we provide additional value that helps investors keep more returns, including better diversification, automatic rebalancing, and tax efficiency.
Founder and CEO Jon Stein says DIY investing is a problem better solved by sophisticated technology.
Betterment is the largest independent online financial advisor with more than $9 billion in assets under management. The service is designed to help increase customers’ long-term returns and lower taxes for retirement planning, building wealth, and other financial goals. Betterment takes advanced investment strategies and uses technology to deliver them to more than 250,000 customers across its three business lines: direct-to-consumer, Betterment for Advisors, and Betterment for Business. Learn more.