Betterment LLC (New York)

Name: Betterment LLC
Address: 61 West 23 Rd Street, New York, NY, 10010
Telephone: 203-518-6993

Betterment LLC is a large advisory firm based in New York. It manages $16.4 billion of regulatory assets for 542,046 client accounts. It has been registered with the SEC as an adviser since 2009 and has operated in the jurisdictions of Alabama, Alaska, Arizona, and 49 other states.

Betterment provides financial planning services and portfolio management for individuals and small businesses. It prepares financial plans for approximately 900 clients. On top of advisory services, the firm doesn't engage in other business activities.

Betterment: assets under management

The assets under management (AUM) of Betterment LLC is $16.4 billion, all of which is managed in discretionary accounts. The firm's AUM has grown by 1772% since the beginning of its operation, and the company doesn't manage any assets belonging to foreign clients.

The firm manages $16.4 billion in discretionary accounts. On average, the discretionary accounts where all decisions are made on behalf of the client hold $30.25 thousand each.

Betterment has custody of $16.4 billion in cash and securities for 419,543 clients in total and acts as a qualified custodian.

Investments

The firm invests in investment and business development companies the most. They account for 100% of the total AUM.

Fees & Commissions

The advisory firm has several streams of revenue. Clients pay Betterment LLC for their services and products based on a percentage of assets under management and fixed fees. Compensation based on assets under management promotes a long-term relationship between a client and the adviser and helps align mutual interests. These fees don’t include brokerage commissions, interest, taxes, and other account expenses.

What kind of clients Betterment serves?

The firm provides services to individuals, charitable organizations, high net worth individuals, corporations or other businesses, and pension and profit sharing plans. The largest group of clients of Betterment is individuals with 417,088 clients and $13.34 billion of assets under management. Among the 7 most similar advisory firms, Betterment has the highest percentage of individuals out of all clients.

The amount of regulatory assets under management is $16.4 billion for 419,543 clients that can include trusts, estates, and 401(k) plans and IRAs of individuals and their family members. None of the firm’s clients are foreign persons or businesses.

Betterment doesn't advise any private funds.

Careers at Betterment LLC

The company employs 245 people that are either part- or full-time employees. 7 percent of the employees work as investment advisers or researchers. 8 employees are registered as investment adviser representatives with the state securities authorities.

There are 57,287 people with the role of looking for and bringing in new clients on behalf of the firm. The firm compensates employees in addition to the salary for bringing in new clients. Employees don’t receive compensation from other entities for client referrals.

Direct owners and executive officers

Name	Entity	Date acquired	Ownership	Employer ID
Eli David Broverman	Chief operating officer, chief compliance officer	1 Aug 2008	Other	5655953
Sean Rhys Owen	Chief technology officer	1 Aug 2008	Other	4761771
Inc. Betterment Holdings	Managing member, parent entity	1 Apr 2009	75% - 100%	26-2916937
Betterment Llc	Parent company	1 Apr 2009	75% - 100%	26-2916937
Dustin Mathias Lucien	Chief operations officer	1 May 2016	Other	6258517
Benjamin Todd Alden	Chief compliance officer and general counsel	1 Mar 2017	Other	6340598
Paul Robert Walsh	Chief compliance officer	1 Jan 2018	Other	3189041
Peter Brailler Lorimer	Vp, finance	1 Oct 2018	Other	5323735
Kimberly Noel Chehardy	Chief compliance officer	1 May 2019	Other	6877342

Indirect Owners

The SEC currently registers 2 indirect owners.

Name	Entity	Date acquired	Ownership	Employer ID
Jonathan Babcock Stein	Shareholder	1 Aug 2008	25% - 50%	5653842
Ryan Matthew O'sullivan	Elected manager	1 Aug 2008	25% - 50%	2675099

Based in New York

The principal office where Betterment LLC performs its advisory services is located at 61 West 23 Rd Street, New York, NY 10010, which is also the mailing address of the firm. It doesn’t run an office outside of the United States.

You can reach the main office by calling the phone number 203-518-6993 or by fax N/A. The normal business hours are 9:30 - 6:00 on Monday - Friday. You can find more information about the New York firm at betterment.com and its LinkedIn profile.