Project Description

Ellevest

Ellevest is an online investing platform providing an investing experience developed specifically for women to meet their financial goals in life.

The platform uses a proprietary algorithm to calculate financial targets to meet specific needs, including the actuarially longer lifespan of women.

Women generally prefer less volatility and want more certainty of achieving their goals. What matters most is the achievement of their personal financial goals (such as being able to buy a house, start a business or contribute to grandchildren’s education), not outperforming arbitrary financial benchmarks. The methodology and algorithms that underlie Ellevest’s recommendations are built from the ground up, incorporating what has been learned from women about how they want to invest.

The same care and attention to detail reflected in the easy-to-use interface is applied to the construction of portfolios, selection of investments, and the development of the algorithms that drive Ellevest’s forecasts and recommendations. Insights gleaned on each person’s finances, and more generally about investing and gender, are used to build investment portfolios to help them reach or exceed their goals in a wide variety of market conditions. Some other digital investment advisors outsource their portfolio management function to third-party advisors, but Ellevest uses proprietary methods.

Ellevest core portfolios are constructed using carefully vetted low-cost exchange-traded funds (ETFs), which are purposefully combined in an attempt to lower overall risk. Customized projections and forecasts aim to provide as close a reflection as possible of what someone can expect from their investing activities.

Ellevest also offers different levels of accounts including financial advice, coaching services, and private wealth management for high income clients.

Co-founder and CEO Sallie Krawcheck founded Ellevest because she felt “gender-neutral” money solutions weren’t serving women and wanted to offer them a robust, thoughtful investment approach. Krawcheck, a Wall Street veteran, was formerly CEO of Merrill Lynch Wealth Management Fund, Smith Barney and CFO at Citi.