Betterment Holdings Inc. Due Diligence

Run due diligence on Betterment Holdings Inc.: check compliance and get alerts when suppliers or ownership change.

United States · owned by Independent (United States) · betterment.com · 39 vendors

Betterment is a US-based robo-advisor and financial technology company that offers automated investing, retirement accounts (IRAs, 401(k)s), high-yield cash accounts, and checking services. It combines algorithm-driven portfolio management with expert financial advice to help individuals grow and manage their wealth. With over $65 billion in assets under management and more than 1 million customers, it also provides 401(k) solutions for businesses and custodial services for independent RIAs.

Resilience scores

Technology vendors

Insights

Last updated 2026-08-11 · revision 9

39 direct vendors, 302 subvendors

Direct vendors by controlling owner country (sample)

Subvendors by controlling owner country (sample)

Compliance

13 in-scope frameworks identified; showing 3.

SEC Cybersecurity Risk Management Rules — No public evidence

Evidence: https://www.betterment.com/adv, https://www.betterment.com/legal/privacy-policy, https://www.betterment.com/legal

FDIC Insurance Compliance — Evidence found

Evidence: https://www.betterment.com/cash-reserve, https://www.betterment.com/cash-portfolio, https://www.betterment.com/legal, https://www.fdic.gov/

Gramm-Leach-Bliley Act — Evidence found

Evidence: https://www.betterment.com/legal/privacy-policy, https://www.betterment.com/legal

Financials

Three-year financials

Financial Resilience Score: 6/10

Betterment Holdings Inc. is a scaled private fintech with strong operating momentum, including over US$70B in AUM and more than 1 million customers as of 2025-2026. AUM has roughly doubled from ~US$33B in 2022 to >US$70B in 2026, representing compound growth of ~20% per year, aided by acquisitions of Marcus Invest (2024), Ellevest's automated-investing business (Feb 2025), and Rowboat Advisors (May 2025). The company benefits from a diversified revenue mix spanning advisory fees, cash-sweep spread income, 401(k) administration, and RIA custody services. However, financial resilience cannot be fully verified because Betterment is privately held and does not disclose audited consolidated financial statements (revenue, EBIT, equity). Industry analysts estimate annual revenue in the low-hundreds-of-millions USD range, and CEO commentary suggests the company is approaching or has reached profitability, but this remains unaudited. The company has raised ~US$435M in total funding, with a reported ~US$1.3B valuation in Sep 2021. Key risks include interest-rate sensitivity (cash-sweep spread revenue would compress if Fed cuts rates), intense competitive pressure from Vanguard, Schwab, Fidelity, and Wealthfront, a US$9M SEC settlement in April 2023 over tax-loss-harvesting disclosures, reliance on third parties (Apex Clearing, nbkc bank), and concentrated single-country US exposure. The private-company opacity is the primary constraint on assessing true resilience.

Key strengths: AUM >US$70B as of May 2026, doubled from ~US$33B in 2022, >1 million customers as of August 2025, Diversified revenue mix: advisory fees, cash-sweep spread, 401(k), RIA custody, Strong VC backing with ~US$435M raised, ~US$1.3B valuation (2021), Product expansion via acquisitions (Marcus Invest, Ellevest, Rowboat Advisors), SEC-registered adviser and broker-dealer with regulatory moat, Scale-driven operating leverage on fixed technology cost base

Risk factors: Private-company opacity: no audited public financials available, Interest-rate sensitivity of cash-sweep spread revenue, Competitive pressure from Vanguard, Schwab, Fidelity, Wealthfront, US$9M SEC settlement in April 2023 over tax-loss-harvesting disclosures, Reliance on third parties (Apex Clearing, nbkc bank, program banks), Concentrated single-country (US) exposure, Historically not profitable on GAAP basis (per past CEO commentary)

Revenue by geography

Workforce by country

Signed-in users can see whether their own company is exposed to this vendor's disruption, plus the full sub-vendor list and country breakdowns, every in-scope compliance framework plus gaps and next steps, and alerts when any of it changes.

View the full interactive report