Ellevest vs Betterment (WHICH PLATFORM IS THE BEST?)

what is up everyone I'm Rose and welcome back to my channel in this video I'm gonna compare Elvis versus betterment which are to investing apps or Robo advisors but take a goals based approach to investing before we get started I'd love for you to subscribe my channel is all about stock investing for beginners and it's my mission to empower everyday people just like you especially women to win at investing so make sure to subscribe and hit the notification bellow for new videos like this every week so let's get right into it I'm gonna compare Elvis versus betterment in terms of mission investment portfolios offered investment strategy account types offered and lastly fees finally I'll end with some closing remarks and a recommendation on which one you should go with first let's talk about mission as a potential customer of any company I always want to know what that company is all about what's their mission and what difference are they trying to make in the world what intrigued me about Elvis is that the company is 100% women run and women-owned and I think this gift right here perfectly captures how I feel about women-owned businesses the company's tagline is invest like a woman and they're on a mission to close the gender investing gap with an investing approach designed by and for women on the other hand Federman doesn't have as clear of a woman focused mission something else that's really cool about Elvis is that you get the opportunity to invest in companies that value gender diversity and women's leadership which brings me to my second point of comparison investments offered let's first talk about Elvis the two portfolios they offer are the core and the impact portfolio the core portfolio includes up to 26 different exchange-traded funds or ETFs that give you exposure to a wide range of asset classes the impact portfolio is very similar except that they've switched out some of the funds in the core portfolio for funds that focus on socially responsible investing for example the impact portfolio incorporates the packs elevate global Women's Leadership Fund as well as the iShares MSCI AFE fund these are both ETFs that contain pennies that advance gender equality and also have a positive impact on the environment so it's pretty simple at Elvis you have two portfolios to choose from the core or the impact portfolio on the other hand betterment offers four portfolios their default option is the betterment portfolio which is comparable to the Elvis core portfolio they also offer the betterment socially responsible investing portfolio and that one is comparable to the Elvis impact portfolio however betterment offers two additional portfolios the goldman sachs smart beta portfolio which is a riskier but potentially more profitable option and the Blackrock target income portfolio which is specifically for older people who want to generate income off of their nest egg as you can see betterment does have a few more options than Elvis if you're passionate about socially responsible investing I will say though that the Elvis impact portfolio has a larger percentage in socially responsible investments than betterments version so from our retirement goal Elvis has 51% in socially responsible funds versus betterments 39% also betterment doesn't target social impact specific to women whereas Elvis chooses funds that specifically help advance women's leadership and economic opportunities for women moving right along to investment strategy elvis and betterment are very similar in the sense that their investing strategies are based on maximizing your chances of achieving your goals for an in-depth explanation on goals based investing make sure to check out this video right here I show you how Elvis invest your money based on your goals and I don't want to repeat myself in this video so definitely make sure to find out more in this video so how our betterment and Elvis different again Elvis investment style is geared more towards women first of all the typical financial situation for women does not look like the typical financial situation for men women live longer and due to things like taking time off to raise children their career and salary trajectory looks very different from that of men's so given that women's money situation looks different obviously their investing should also be customized for that so with Elvis all of their forecasting and advice takes this into account for example since women tend to have longer lifespans than men when you have a retirement investing goal a tell vest they're gonna recommend that you aim for a larger nest egg than other platforms would normally recommend I think this is smart especially given that women are 80 percent more likely than men to be living in poverty at age 65 or older and I have a feeling that's because most financial advice is tailored towards men and men's lifespans not fun to think about but hey it's reality so women should invest accordingly now let's talk about the different account types offered on each platform both betterment and mal vests offer your traditional IRAs Roth IRAs SEP IRAs no retirement individual accounts and 401k or 403b rollovers so they both offer all the basics however betterment goes even further and they offer joint accounts which are accounts with two owners such as you and your spouse and they also offer trust accounts which are accounts that you manage but belong to someone else such as your children another thing to consider when choosing an investing platform is what kind of banking features they provide savings and checking accounts are all nice amenities that make it easier to manage your money and investments all in one place as of now betterment offers a savings account called the everyday savings account it pays a generous interest rate of 2.4% as of today and any withdrawals take about one to two business days to process they're also rolling out checking accounts soon but as of today it's not ready yet l vest is a little bit behind the ball in this regard I haven't heard of any plans to have a checking account or even a high-yield savings account they do offer an emergency fund and it pays practically a non-existent interest rate of point zero one percent but Elvis hasn't been around as long as betterment and they're continually adding new features so my guess is that they are gonna offer a good savings account at some point in the future last but not least I want to quickly touch on fees betterment and Elvis both charge an annual fee of 0.25 percent that means that if you have $1,000 invested with them you'll pay 2 dollars and 50 cents per year in fees most Robo advisors charge this percentage of 0.25% so that's not really a distinguishing factor but I did want to touch on it my final thought the biggest difference between Elle vests versus betterment is that everything about Alves is women centric whereas betterment is built for the general investing public so from mission everything fr

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