Betterment acquires Marcus Invest’s digital accounts from Goldman Sachs

Betterment, recognized as the largest independent digital investment advisor in the United States, has reached a significant agreement to acquire the digital investing accounts of Marcus Invest from Goldman Sachs. This strategic acquisition will see the digital accounts of Marcus Invest transitioning to Betterment in the upcoming months, further bolstering Betterment’s position in the digital investment sector.

Key Details of the Acquisition

The integration of Marcus Invest’s accounts into Betterment’s platform is scheduled for completion by June 29, 2024. Marcus Invest, known for its digitally customized investment portfolios, aligns well with Betterment’s advanced technology and customer-centric service model. Betterment currently manages over $45 billion in assets and serves more than 850,000 customers with its diversified, expert-built portfolios. This acquisition only involves Marcus Invest’s accounts and assets under management, with no additional components such as technology, employees, or operations included in the deal. Customers of Marcus Invest will have the option to opt-out of this transfer if they wish.

Statements from Leadership

Sarah Levy, CEO of Betterment, highlighted the significance of this acquisition: “This acquisition further cements our leadership in the digital investing space,” she stated. “We are excited to welcome these customers to Betterment where our scalable technology platform will continue to support them on their investing journeys.”

On the other side, Marcos Rosenberg, the global head of Goldman Sachs Marcus, remarked on the strategic shift for Goldman Sachs: “As we increase our focus on our growing Marcus Deposits platform, we made the decision to transition away from our digital investment advisor offering and wanted to find a great home for those customers,” Rosenberg explained. “Betterment was the obvious choice for those accounts as we share a deep commitment to customer satisfaction.”

Future Prospects and Customer Benefits

Marcus Invest customers transferring to Betterment will benefit from automated investing, diversified portfolios, and tax-smart tools. They will also gain access to various account types, planning tools, educational resources, and the option to consult with human advisors. This seamless integration aims to ensure that transitioning customers continue to receive excellent investment support and services.

Continued Focus for Goldman Sachs

Goldman Sachs will continue to concentrate on its Marcus Deposits platform, which currently serves over three million customers globally and manages more than $100 billion in consumer deposits. This strategic realignment allows Goldman Sachs to enhance its offerings in high-growth areas while ensuring a smooth transition for its digital investment customers.