http://jlcollinsnh.com/stock-series/Jim has a write up frequently referenced here and elsewhere.
In general, the message is
- Active funds don't consistently beat the market
- So put your faith in the long-term health of the economy/market, which has always gone up
- Index funds (esp @ Vanguard) have low fees. Vanguard total market fund is 0.05% (admiral share)
- Conversely, on top of Active Funds spotty long-term performance, their fees are atrocious
From fees alone, I can't recommend Betterment or even target date funds. Target funds are really there for people that can't be bothered to set an investment plan and check it even just twice a year. For that service, they pigeon hole into a strategy and charge a 1% fee...