ABN Amro is pulling out of the robo advisory market, shutting down its online wealth management business, Prospery, in Germany after failing to attract sufficient clients.
Launched in November 2017, Prospery was a product of the Dutch bank's commitment to set up small innovation units in each business to rapidly develop and deploy new fintech-lite products and services.
Available to clients with assets exceeding EUR200,000, Prospery offered customers a comprehensive view of their current and potential assets aligned to a risk-weighted online investment service and remote personal coaching at a fixed fee.
In a statement announcing the closure of the business, ABN Amro says the absence of a distribution channel made it difficult to attract clients and the number of clients interested in using Prospery had not met expectations.
"Growing the number of clients would involve significant additional investments," states the bank. "ABN Amro has therefore decided to discontinue Prospery in its current shape. The lessons learned and the technology will be re-used in the Netherlands. Clients will not be affected financially by this change."