Which is the better wealth management service, Betterment, or Personal Capital?
Two of the biggest financial management service available right now will be compared in this piece. Betterment, which supervises over $13.5 billion in assets under management, and Personal Capital, which oversees $8.5 billion in assets under management (AUM). The two businesses provide many services, some of which include: financial planning tools, machine-driven investment portfolios, and tax-reduction strategies. This piece will inform you of the difference between these two wealth management services, to help you choose the right one to fit your needs.
What service is provided by Betterment?
If you are only recently embarking into the business world or if you are searching for a low-cost digital advisor, the right choice would be Betterment. This Robo-advisor requires no investment for its basic digital plan. The digital option provides a machine-driven diversified portfolio, also it encompasses a tax-loss harvesting service and automatic money rebalancing service. The premium package would need an investor to make a minimum payment of $100,000. With the premium, package Betterment provides limitless access to a certified financial planner (CFP).
What service is provided by Personal Capital?
For Personal Capital, to utilize other tools than its free digital-planning feature, you would need to invest a minimum of $200,000. With the premium access comes tax-harvesting strategies and low-cost exchange-traded funds, these tools can be used to develop your customized portfolio. Also, if you invest a minimum of $1 million, you would gain access to CFP (certified financial planner) and an investment committee. This feature is unlike most Robo-adviser service. These experts will assist you in managing numerous types of accounts and assets.
Conclusion
If one is searching for a low-cost option to get into the business of investing and getting valuable advice and leadership on having your money work for you, Betterment would be the correct choice. The low-priced digital tools and machine-controlled investment portfolios are a great way to get the job done and gain valuable experiences. If you’re a skilled investor or your business operation is more complex, Personal Capital may be the service for you. Despite the greater charges, one gains access to a wider and better array of services.
