Advisors to Receive More Attention, Vows Betterment's New CEO

Betterment will be recalibrating and prioritizing its business to better serve advisors and more directly address the retirement plan marketplace, according to Sarah Levy, the firm’s CEO. In one of her first interviews specifically addressing the nonretail business lines at the firm, Levy acknowledged that in the past, Betterment had prioritized the retail segment at the expense of advisors and the firm’s 401(k) business. She also signaled that Betterment’s foray into cash management had largely reached maturation, and that future developments would focus more on investing, rather than the cash account products that saw the automated advice plarform, or so-called robo advisor, taking on a more bank-like bent.

Levy joined Betterment from Viacom, where she spent two decades working with brands including BET, MTV and Comedy Central. Media professionals live and die based on their audience connections and Levy said she wants to bring that same focus to financial services. She said she recognized a need for Betterment to do a better job connecting with all its customers, not just the retail clients who have historically enjoyed the most attention.

The advisor and retirement plan businesses “were sort of secondary businesses when I arrived,” said Levy. “I’m moving them up to the front of the queue.”

Read more at WealthManagement.com.