| Website |
https://www.betterment.com/ |
https://www.personalcapital.com/ |
| Pros |
- Super-easy to setup and invest
- Lower fees (0.25%) than a traditional advisor (1%)
- Automatic rebalancing
- Tax-loss harvesting for taxable accounts
- Cash reserve account offers a competitive APY
- Joint and single accounts
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- Best in class portfolio analysis tool.
- Smart Weighting Asset Allocation weights your investments based on the market cap of different sectors (technology, finance, etc).
- Lower variance by weighting assets based on their sector, portfolios may fluctuate less than with a traditional S&P 500 portfolio.
- A Personal Advisor to talk to. Or 2 if you have at least $200k invested.
- No ETF expense fees since stocks are invested in directly.
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| Cons |
- No direct indexing of stocks
- Tax-loss harvesting’s benefits may be overstatated
- No real estate exposure
- Fees (0.25%) are higher than self-managed accounts
- Doesn’t take into account investments on other platforms
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- High advisor fees add up over time,
- Due to the complexity of a portfolio holding many stocks, it may be difficult to leave Personal Capital and manage your own portfolio.
- Will underperform the market during times when one sector outperforms for years at a time (ex: technology).
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| Promotions |
- Up to 1 year with no advisor fee (up to $100,000)
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| Fees |
- Avg yearly expenses: 0.36%
- 0.25% yearly advisor fee for all assets under management
- 0.40% yearly advisor fee for Premium Investing
- 0.15% advisor fees for assets above $2 million
- 0.07% to 0.15% expense ratios for funds (avg 0.11%)
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- Personal Capital charges a progressive advisor fee based on the amount of assets under management.
- For $1 Million and under: 0.89%.
- $1m - $3m: 0.79%.
- $3m-5m: 0.69%.
- $5m-$10m: 0.59%.
- $10m+: 0.49%.
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