About
Betterment pioneered the robo-advisor category starting in 2008. Manages $65B+ AUM for 1M+ accounts as of late 2025. Valued at ~$1.3B. Acquired Goldman Sachs' Marcus Invest (April 2024), Ellevest automated investing ($1.1B AUM, Feb 2025), and Rowboat Advisors for direct indexing (May 2025). High-yield cash account drove growth as rates climbed. Raised $435M total. Competes with Wealthfront for mass-affluent millennials seeking automated tax-loss harvesting and diversified portfolios.
Key Facts
- [1]Founded: Founded in 2008 in New York, United States.
- [2]Funding: Total funding: $435M. Last round: Sep 2021. Stage: Late Stage.
- [3]Valuation: Valued at $1.3B.
- [4]Employees: Employee count: 501-1,000.
- [5]Website: Official website: betterment.com.
- [6]AI Technology: Core AI/ML technologies: Predictive ML.
- [7]Region: Region: Americas (United States).
Founders
Jon Stein
Founder & Chairman
Eli Broverman
Co-founder
AI Technology
Predictive ML
Traditional ML algorithms for classification, regression, and scoring models
Classification
Market Segments
Tech Stack Layers
Details
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Frequently Asked Questions
What is Betterment?
Betterment pioneered the robo-advisor category starting in 2008. Manages $65B+ AUM for 1M+ accounts as of late 2025. Valued at ~$1.3B. Acquired Goldman Sachs' Marcus Invest (April 2024), Ellevest automated investing ($1.1B AUM, Feb 2025), and Rowboat Advisors for direct indexing (May 2025). High-yield cash account drove growth as rates climbed. Raised $435M total. Competes with Wealthfront for mass-affluent millennials seeking automated tax-loss harvesting and diversified portfolios. Betterment is classified in the Wealth Management segment at the Applications layer of the financial AI stack.
Who founded Betterment?
Betterment was founded by Jon Stein (Founder & Chairman) and Eli Broverman (Co-founder) in 2008 in New York, United States. The company has been operating for 18 years.
How much funding has Betterment raised?
Betterment has raised $435M in total funding, placing the company at the Late Stage stage. The most recent round closed in Sep 2021. The company is valued at approximately $1.3B. Among 31 funded Wealth Management companies, Betterment ranks #8 by total capital raised. (Source: AIFI Map directory.)
What AI technology does Betterment use?
Betterment primarily leverages Predictive ML technology. Traditional ML algorithms for classification, regression, and scoring models. Within the Wealth Management segment, 14 companies use this technology.
What market segment does Betterment operate in?
Betterment operates in the Wealth Management and Enterprise Finance market segments. AI wealth management companies are transforming how individuals and institutions invest, plan financially, and manage assets. This segment spans robo-advisors, portfolio optimization engines, financial planning tools, and institutional asset management platforms. The company also has a footprint in enterprise finance, reflecting its cross-functional approach to financial AI.
Where is Betterment headquartered?
Betterment is headquartered in New York, United States. The company operates in the Americas region. The team consists of 501-1,000 employees. United States is home to 324 financial AI companies tracked by AIFI Map.
Who are Betterment's competitors?
Companies similar to Betterment in the Wealth Management space include Unit21 ($92M raised), Kaaj ($4M raised), Lendbuzz ($310M raised), Ramp ($2.3B raised), Brex ($1.5B raised). These companies operate in related areas of financial AI: Unit21 focuses on ai-powered fraud and aml platform. Kaaj focuses on agentic ai for small-business lending automation. Lendbuzz focuses on ai auto financing for underserved populations. (Based on AIFI Map classification data.)
What products does Betterment offer?
Betterment builds applications-layer solutions for the financial services industry. The company's core offering: Pioneer robo-advisor with AI portfolio management. The platform is powered by Predictive ML technology.