Company
Betterment is a U.S.-based digital investment and financial advisory company, known as one of the pioneering "robo-advisors," offering automated portfolio management, retirement accounts, and cash management products to retail investors.
Fidelity will require RIAs already on its custody platform to hold at least $100 million there by June 30, 2027, or leave. AdvizorPro data counts about 1,150 firms below that line, The Daily Upside reported, while Fidelity puts the number at a few hundred.
Reality
Fifty-two percent of Gen Z investors moved money meant for investing into sports betting in the past year, a Betterment survey of 1,000 investors found. Bank of America's payment data puts what every generation recovers from sportsbooks each month below 75 cents on the dollar, so the diverted cash is a running cost.
Perspective Coverage
3 publishersReality
Fidelity's plan to drop custody clients under $100 million has Schwab, Axos and Betterment courting advisors who have to move assets by June 30, 2027. The only offer with published terms loses value each month an advisor waits.
Reality
Betterment will charge RIAs 0.20% on custody assets under $10 million and 0.12% above that from Jan. 1, with a negotiated rate past $100 million. Setting the rate by assets held at Betterment pays advisers to move a bigger slice there while Schwab or Fidelity keeps the main book.
Reality
Two academic papers put figures on where wager money comes from: net household investment down nearly 14% after legalisation, and credit stress showing up in the lending data.
Reality