Betterment LLC

What does Betterment own?

Betterment operates an automated investing platform, cash management products, a workplace retirement business, and a B2B advisor technology platform, all under the single Betterment brand.

Is Betterment publicly traded?

No. Betterment is privately held, owned by its founders, employees, and investors including Francisco Partners, Bessemer Venture Partners, and other venture firms. It has never issued public shares.

Who founded Betterment?

Jon Stein founded Betterment in 2008, launching it publicly in 2010 with co-founder Eli Broverman. Stein built the original robo-advisor concept and ran the company as CEO until 2020.

Where is Betterment headquartered?

Betterment is headquartered in New York City, where it was founded and has operated since its inception.

Who is Betterment's CEO?

Sarah Levy has been CEO since December 2020. She succeeded founder Jon Stein after serving on Betterment's board and previously running Viacom Media Networks' global operations.

Who owns Betterment?

The company is owned by founders, employees, and investors. Significant shareholders include private equity firm Francisco Partners and venture firms including Bessemer Venture Partners and Menlo Ventures.

Does Betterment still exist?

Yes. Betterment operates actively as the largest independent robo-advisor, managing approximately $55 billion for more than 900,000 customers as of late 2026.

Jon Stein founded Betterment in 2008 after watching a friend pay hundreds of thousands in advisory fees for portfolio management he believed software could do better. He began building the company in New York, initially called Betterment.com, with Eli Broverman as co-founder and COO.

The company launched publicly at TechCrunch Disrupt in May 2010, introducing the first consumer robo-advisor. Early years were defined by venture fundraising, with Bessemer Venture Partners, Menlo Ventures, and others backing the thesis that automated investing would displace traditional advice for a generation of investors.

The 2010s built the category. Betterment added tax-loss harvesting, goal-based tools, and a cash account while raising capital at increasing valuations. It outlasted or acquired early rivals, bought the customer base of failed robo-advisors, and cemented its position as the leading independent by the late 2010s.

A major strategic shift came in 2020 when founder Jon Stein stepped down as CEO and the board named Sarah Levy, a Viacom and Nickelodeon executive and long-time Betterment board member, as his successor. Under Levy the company expanded into checking, its 401(k) business, and the B2B advisor platform Betterment for Advisors. Private equity firm Francisco Partners became a significant investor in the 2021 funding round, marking a shift toward a more mature private ownership base as the company pursued a path toward eventual exit or public listing.

Betterment offers socially responsible and climate-impact portfolio options alongside its standard portfolios, responding to client demand for values-aligned investing. As a fiduciary SEC-registered investment adviser it operates under a legal obligation to act in client interest, and it maintains standard financial services data security and privacy practices.

Betterment has faced no major public scandal. It settled an SEC enforcement action in 2023 for approximately $9 million over failures in its tax-loss harvesting software that caused client losses, a case that drew attention because it implicated the algorithmic execution at the heart of its product. The company cooperated and remediated. Beyond that matter its regulatory record is ordinary for an investment adviser its size.