We've reviewed many investing and personal finance services. We want to help you make the best decision of which service best suits your needs.
This comparison we review Betterment and FutureAdvisor.
From our research, annual fees, minimum deposit, and 401(k) support the most important
features which choosing a robo advisor. Let's look at how Betterment and FutureAdvisor stack up against each other on these features.
To start, we will compare the fees for trading with both robo
advisors. Betterment has
annual fees at 0.15% fee per year. In
contrast, FutureAdvisor has annual fees of 0.50%.
When it comes to fees, Betterment is the cheaper service.
Let's consider the minimum investment that's required to use both Betterment and FutureAdvisor.
At $0, Betterment requires a smaller minimum deposit.
Both Betterment and FutureAdvisor can help assist with your 401(k) plan.
|Review||Betterment Review||FutureAdvisor Review|
Overall rating as by Investor Junkie.Rating
|Commissions & Fees|
|Ease of Use|
|Tools & Resources|
|Promotions||Up To 1 Year Free||None|
|Account Fees||Digital – 0.15-0.25%/year; Premium – 0.30-0.40%/year||0.50%/year|
|Accounts Available||Taxable, Joint, Roth IRA, Traditional IRA, Rollover IRA, SEP IRA, Trusts, Non-Profit||Taxable, Joint, Roth IRA, Traditional IRA, Rollover IRA, SEP IRA, 529, Coverdell|
Does the robo-advisor offer assistance with your employer sponsored retirement plan?401(k) Guidance
|Tax Loss Harvesting||— All Taxable Accounts||— All Taxable Accounts|
|Retirement Planning Tools|
|Automatic Deposits||Weekly, Biweekly and Monthly||Daily, Weekly, Biweekly, Monthly, Bimonthly and Quarterly|
|Clearing Agency||Apex Clearing||Apex Clearing|
|Socially Responsible Investing|
|Invests in Commodities|
|Invests in Real Estate|
How can you access the sevice? Website only? Via smartphone app?Access
|Website, iOS App, Android App||Website, iOS App, Android App|
More security to prevent unauthorized access to your account.Two-Factor Authentication
|Customer Service||Phone: M-Th 9A-8P, F 9A-6P ET; Live Chat: M-Th 9A-8P, F 9A-6P, Sat-Sun 11A-6P ET; Email||Phone: M-F 8:30A-5P PT; Email|
|Assets Under Management||$13B||$1B|
|Number of Accounts||444K||7K|
|Sign Up||Sign Up|
Betterment is equally a good starting point for beginning investors and a useful platform for more experienced investors. The robo advisor has no minimum deposit and costs 0.25% annually. If you need the assistance, it recently added human advisors who can assist with your retirement account. Unfortunately, Betterment's asset allocation excludes REITs or commodities.
FutureAdvisor lets you test-drive its service for free and is one of the few robo advisors that can manage your 529 college savings plan. However, the bad news is the service's fees are higher than those of most of its competition.