First, it’s essential to know your plan assets are protected in the event of a worst-case scenario such as firm insolvency. If Betterment Securities was to become insolvent in the future and funds were to go missing, your plan’s securities that are custodied at Betterment Securities are protected by SIPC up to $500,000 per participant account against those missing assets (and of that, up to $250,000 for cash).
Articles in this section
- What happens if Betterment goes out of business?
- How does SIPC coverage work?
- Who has custody of the assets in participants’ accounts?
- Where are your servers and data centers and are they protected?
- Do any third parties oversee Betterment’s (and its affiliated companies’) corporate, investment and cybersecurity practices?