Meet the Revolutionary Know-how Portfolio

Essentially the most beneficial corporations of at present aren’t the identical bunch as 20 years in the past. With every era comes new challengers and new classes (Hi there, Huge Tech). And whereas we are able to’t actually predict the following class of prime performers, innovation will seemingly come from components of the economic system that use know-how in new and thrilling functions, industries like:

• semiconductors
• clear power
• digital actuality
• synthetic intelligence
• nanotechnology

This dynamic led us to create the Revolutionary Know-how portfolio.

What’s the Revolutionary Know-how Portfolio?

The portfolio will increase your publicity to corporations pioneering the know-how talked about above and extra. These improvements carry the potential to reshape the best way we work and play, and within the course of form the market’s subsequent era of high-performing corporations.

Utilizing the Core portfolio as its basis, the Revolutionary Know-how portfolio is constructed to generate long-term returns with a diversified, low-cost strategy, however with elevated publicity to threat. It accommodates lots of the identical investments as Core, but additionally consists of an allocation to the SPDR S&P Kensho New Economies Composite ETF (Ticker: KOMP). For a extra in-depth take a look at the portfolio’s methodology, skip over to its disclosure.

How are pioneering corporations chosen?

The Kensho index that KOMP tracks makes use of a particular department of synthetic intelligence known as Pure Language Processing to display screen regulatory knowledge and determine corporations serving to drive the Fourth Industrial Revolution. After choosing corporations throughout greater than 20 classes, every is mixed into the general index and weighted in keeping with their threat and return profiles.

Why would possibly you select this portfolio over Betterment’s Core portfolio?

We constructed the Revolutionary Know-how portfolio to carry out kind of the identical as an equal inventory/bond allocation of the Core portfolio. It could, nevertheless, outperform or underperform relying on the return expertise of KOMP and the businesses this fund tracks.

So, for those who consider the rising tech of at present will drive the returns of tomorrow—and are prepared to tackle some further threat to take that long-term view— this can be a portfolio made with you in thoughts. Threat and early adoption can are likely to go hand-in-hand, in spite of everything.

Why put money into innovation with Betterment?

Revolutionary know-how is in our DNA. We stands out as the largest unbiased digital monetary advisor now, however the “robo advisor” class barely existed once we opened store in 2008. In case you select to put money into the Revolutionary Know-how portfolio with Betterment, you not solely get our skilled, tech- ahead, portfolio administration instruments, you additionally get an funding supervisor with first-hand expertise within the subject of first movers.