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Recent Press Coverage Contents BETABEAT | Betterment Introduces Retirement Accounts, Lowers Fees ................................................................................................ 4 THE NEW YORK TIMES | Betterment Slashes Fees and Adds I.R.A.s .................................................................................................... 6 NY DAILY NEWS | Online brokerage startup Betterment.com is slashing its prices, while adding IRAs ......................... 8 DOW JONES | New Firms Taking Financial Advice Online ............................................................................................................................... 9 THE WALL STREET JOURNAL | Searching for Financial Advice Online ............................................................................................ 11 NY DAILY NEWS | Tech Startups Give Wall St. Run For Its Money ......................................................................................................... 13 FAST COMPAny | The Financial Institutions Banking On Occupy Wall Street’s “Move Your Money Day” .................. 14 THE DAILY | Breaking up the Bank ................................................................................................................................................................................ 16 THE NEW YORK TIMES | Betterment Adds International Investments to Portfolio ................................................................... 18 THE NEW YORK TIMES | Investment Advice for Small Fry ......................................................................................................................... 19 AMERICAN BANKER | Mint Teams Up with Betterment to Boost Revenue .................................................................................. 23 THE NEW YORK TIMES | Betterment Raises $3M to Give Casual Investors a More Accessible Portfolio ................. 25 INC. | Congratulations! You’ve Closed Your First Round. Now What? ...................................................................................................... 26 TECHCRUNCH | Bessemer Backs Better-Savings Startup Betterment with $3 Million ............................................................ 27 NY DAILY NEWS | Former Banking Consultant Jon Stein Founds Betterment.com, Advises Investors on Smart Finances ............................................................................................................................................................................. 28 CNN MONEY | 9 Smart New Ways to Manage Your $$: Investing with the Twist of a Dial ..................................................... 31 INVESTMENT NEWS | A Better(ment) Mousetrap for the Mass Affluent? ...................................................................................... 32 TECHCRUNCH | A Better Savings Account? ......................................................................................................................................................... 35 CNN MONEY | Simple Tools For Savvy Investing ................................................................................................................................................ 39 TECHCRUNCH | Betterment Wants To Be Your New, Higher-Yield Savings Account ................................................................. 40 VENTUREBEAT | Investment Startup Betterment Says It Can Make Savings Accounts Extinct ........................................ 42 THE HUFFINGTON POST | The Best 4 Years of Your Life... Are Over: 5 Financial Steps for 20-Somethings .......... 43 THE HUFFINGTON POST | It’s Halftime in the Retirement Game: Playing to Win..................................................................... 46 NY DAILY NEWS | Get Financially Fit for 2012 By Starting to Save Early and By Maxing Out Your 401(k) .............. 48 RECENT PRESS COVERAGE | PAGE 2 Contents CBS NEWS | 4 Personal Finance Technology Trends for 2012................................................................................................................... 49 THE HUFFINGTON POST | OWS: Where Rubber Meets the Road ......................................................................................................... 52 FOX BUSINESS | Ask the Readers: Which Financial Products Do You Actually Use? ................................................................ 54 CRAIN’s | Reinvented by Technology: Financial Services ............................................................................................................................... 57 NY DAILY NEWS | Financial Planning Tools Pay Off ........................................................................................................................................ 58 THE HUFFINGTON POST | The Investment Cost of Being Human ....................................................................................................... 59 CRAIN’s | The Endless “Disruption” Eruption ........................................................................................................................................................ 62 RECENT PRESS COVERAGE | PAGE 3 Betterment Introduces Retirement Accounts, Lowers Fees BY ADRIANNE JEFFRIES Individual retirement Betterment, the online investment Betterment’s fees are now in three manager for individuals that tiers instead of four: .15 percent, accounts were TechCrunch named “New York’s .25 percent and .35 percent, Betterment’s most- Best Startup” in 2010, just depending on the minimum announced it’ll be delivering more balance and desired features. requested feature. for less. The startup introduced “This is huge,” Mr. Stein said of individual retirement accounts, or the announcement. Betterment IRAs, in addition to its investing customers will pay an average of accounts, and changed to a lower .25 percent on their IRAs, Mr. Stein fee structure at the same time. said, much less than the average Betterment – a portmanteau .78 percent, according to Deloitte. of “better” and “investment” – “We’re launching IRAs, which has charges users a percentage of been most requested feature so assets under management; it has we’re super excited to get that 10,000 paying users and 20,000 out there.” subscribers, founder and CEO Jon Stein told Betabeat. Customers can open a new IRA, or roll over an existing IRA or With 13 employees in its Soho 401(k) into a Betterment account, office, that’s a pretty efficient the company said. Betterment company. Mr. Stein, a Certified designed the rollover to be simple Financial Analyst whose and economical, the company background is in investing and said, because 30 percent of retail banking, wants Betterment’s Americans don’t rollover their customers to manage their money retirement accounts because it’s efficiently as well. “Think of it as too expensive and complicated. Apple meets Vanguard,” he told Betabeat by phone last week. “A Betterment figures three million slick, intuitive interface on a smart 401(k) accounts are left un-rolled investing backend.” over every year, using numbers from a Harris Interactive survey Lower fees seems to be somewhat commissioned by ING Direct. The of a February tradition at math on the back of Betterment’s Betterment. “Starting today, envelope says if all those account Betterment’s straightforward fee holders switched to Betterment, is now even lower, ranging from they’d collectively save almost a 0.3% to 0.9% annually, depending billion dollars. on your balance,” the company announced on February 11, 2011. http://www.betabeat.com/2012/02/22/betterment-introduces-retirement-accounts-lowers-fees/ RECENT PRESS COVERAGE | PAGE 4 Continued: Betterment Introduces Retirement Accounts, Lowers Fees It’s easy for Betterment, Going forward, Betterment’s investment adviser, money new features are likely to be manager and broker, to undercut “behaviorally-based,” he said, its competitors, he said, “and meaning recommendations and still provide great value to our user experience changes. customers and save them a The company, which raised $3 boatload of money.” million in 2010 from Bessemer Betterment has been listening to Venture Partners, Anthemis Group, its users, thousands of doctors, and Thomas D. Lehrmanreinmkr lawyers, entrepreneurs, engineers Inc., is of course hiring. ”We’re and other professionals who use looking for developers and it to streamline their investments. operations and marketing folks,” “We’re also launching next day he said. “All.” § deposit,” Mr. Stein said. “You invest and next day funds are invested super fast as well – that’s a feature that was requested left and right.” RECENT PRESS COVERAGE | PAGE 5 Betterment Slashes Fees and Adds I.R.A.s BY RON LIEBER The company When I last wrote about Betterment, an online investment found that about adviser that doesn’t mind if you three quarters of don’t have a lot of money, I noted its promise but fretted over its [customers] said that relatively high prices, lack of international investments and lack if the fees dropped, of Individual Retirement Accounts. they would deposit Since then, it has added significantly more international funds to the menu of exchange-traded funds it puts its money. customers in. And on Wednesday, it added regular, Roth and rollover I.R.A.s to the mix. When prices fall that far, it usually It also cut its prices. By a lot. means that the boss is trying to save the company. But Jon Stein, Customers will now pay 0.35 Betterment’s chief executive, percent of their balance annually said this was not a move born of in fees if they have