Betterment Buys Robo-Advisor Arm from Ellevest 

Betterment, a leading digital investment advisor, has taken over the robo-advisory arm of Ellevest, a wealth management and investment firm founded with a focus on serving women. 

“This acquisition further cements our leadership in the digital investing space,” said Sarah Levy, Betterment’s CEO. “We look forward to welcoming Ellevest’s clients to Betterment and to continuing to support them on their wealth-building journeys.” 

Ellevest, launched in 2014 by ex-Wall Street exec Sallie Krawcheck—who revealed in December she’d be stepping down as CEO due to a private health issue—has grown into a leading fee-only registered investment advisor, overseeing more than $1 billion in assets. 

After the acquisition, Ellevest will keep running its wealth management business, catering to high-net-worth clients with over $500,000 to invest. Its tech, staff, and operations will remain intact. 

“As we focus on our growing wealth management and financial planning business, Betterment was the natural home for our digital-first clients,” said Dr. Sylvia Kwan, who leads Ellevest as CEO and CIO. “On top of automated investing, Betterment offers features that many of our digital clients have expressed interest in, including joint accounts and other cash account options.” 

Betterment, started by Jon Stein and Eli Broverman in 2010, has grown into a digital investment advisory powerhouse, boasting over 900,000 customers and managing north of $55 billion. The firm’s been on a growth tear, picking up Wealthsimple’s U.S. accounts in 2021 and Goldman Sachs’ Marcus Invest portfolio in 2024—smart moves to bulk up its reach. 

Terms of the transaction were not disclosed.