Signup Options

The following are a few options available to Betterment clients. Remember, you don't have to fund your portfolio right away. You may open an account and test various asset allocation models until you are comfortable with your selected strategy. Therefore, signup, open an account, even link your checking account. No funds will be transferred until you are ready. No fees will be charged to your account.

 If you prefer to start with a small deposit and make monthly deposits, you may do so. This method is traditionally referred to as "dollar cost averaging". Although $10 is the minimum investment for a Betterment account, I would suggest $100 as a minimum and again $100 monthly deposits. Even with a $10 minimum deposit, your investment will include a spread across 12 asset classes in over 100 countries.  

Lastly, you may fund your portfolio with a $5,000 or greater minimum initial deposit and receive a bonus of no management fees for 3 months. If your initial deposit is $25,000 or greater, you pay no management fees for 4 months. With a $100,000 or greater initial deposit, the no fee management bonus lasts for 6 months.

Summary
  • Signup, it's Free, No Funds Required. No Fees to be Paid.
  • Signup and make a minimum investment of $10 plus transfer $100/month to your account and start building your portfolio.
  • Signup and Invest $5,000 or more and qualify for a No Management fee bonus of up to 6 months.
Thought for the Day - Signup, It's Free.

Signup Process

The signup process is easy and takes approximately five minutes. During the process, you respond to a series of short questions about your investment needs. A slide bar is presented allowing you to set your preferred asset allocation (i.e., 60% stocks with 40% bonds)..
Once the choices are selected, you then link your personal checking account. Money can be transferred into the Betterment account whenever you desire or can be setup for an automated recurring deposit.
Betterment graphs possible outcomes based on asset allocation
Betterment then graphs the possible investment outcomes based on your asset allocation.

After money is transferred into the account, Betterment automatically purchases exchange traded funds (ETFs). The purchases are made based on your asset allocations. Your investments are very liquid and selling your investments is also simple. Betterment performs the sell trades for you. Any dividends earned are automatically reinvested. Each quarter, any portfolio that is off by more than 5% is rebalanced automatically.

Management Fee

A word about management fees. For investments up to $4,999, the fee is .35% payable quarterly. For investments from $5,000 to $99,000 the fee is .25% payable quarterly. For investments from $100,000 and up, the fee is .15% payable quarterly.

To put this in perspective, on a $5,000 investment, the fee would be $3.13 each quarter.


Betterment Signup Form

 

Faq    Disclaimer    Fees    Sitemap    Contact   


                                                                       © Copyright Mtb International 2011. All rights reserved