Betterment has reached an agreement with Goldman Sachs to acquire Marcus Invest’s digital investing accounts, the firm announced in a release on Monday.
As part of the agreement, Marcus Invest will transfer these accounts to Betterment by or on June 29, 2024, with customers holding the option to opt-out. According to the announcement, Marcus Invest customers who move their accounts can take advantage of automated investing, diversified portfolios, and tax-smart tools. Betterment adds that customers will have access to multiple account types, planning tools, educational resources, and human advisors.
Betterment, a digital investment advisor, currently serves over 850,000 customers and manages over $45 billion in assets.
“This acquisition further cements our leadership in the digital investing space,” said Sarah Levy, Betterment’s CEO, in a statement. “We are excited to welcome these customers to Betterment where our scalable technology platform will continue to support them on their investing journeys.”
Marcos Rosenberg, global head of Goldman Sachs Marcus, explained the firm’s decision in choosing Betterment to take over its digital investment advisor offering. “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,” he said. “Betterment was the obvious choice for those accounts as we share a deep commitment to customer satisfaction. We look forward to continuing to serve our Marcus Deposits customers with great products and a great experience.”
Goldman Sachs says it will continue its efforts in growing the Marcus Deposits platform, which today serves over three million customers globally and has over $100 billion in customer deposits.
The release notes that Betterment is only acquiring Marcus Invest accounts and assets under management (AUM), and will not take on any additional accounts, technology, employees, or operations under the transaction.
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Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.
