Wealthsimple, a global digital investing service, has raised £37 million ($65M CAD) investment from the Power Financial group of companies, bringing Power's total investment in the company to £94 million ($165M CAD).
The easy-to-use online investing service now manages £1.2 billion for over 65,000 clients in Canada, the United Kingdom and United States.
“Wealthsimple had an incredible 2017. We expanded to our first international markets, and tripled the number of clients who invest with us,” said Michael Katchen, CEO and co-founder, Wealthsimple. “We're looking forward to building on this momentum, making an even better product for even more clients in the months and years ahead.”
Wealthsimple makes it easy for anyone to invest like an expert - no matter who they are or how much they have - with on-demand human advice, low fees and access to simple digital tools. Clients can sign up through Wealthsimple's award-winning website or app, and be invested in a low-cost, diversified portfolio in less than five minutes. The brand has been recognised for its innovative approach to design and technology — with back-to-back Webby Awards for its website, a Directors Guild of America award for its creative ad Mad World, and a Magazine about money that is actually fun and interesting to read. It's an approach that has resonated with both long-time investors and those starting out for the first time, with 80% of Wealthsimple's clients under 45 and 40% being first-time investors.
“Our relationship with Power Financial has allowed us to act on our ambitions to be a global player and bring our simple and accessible investing approach to Europe,” said Toby Triebel, CEO Europe. “In the UK we're looking forward to adding more products to our line-up in the coming year and making it even easier for people to invest in their values through offerings like our SRI (Socially Responsible Investing) portfolio.”
The company will use the new capital to evolve its investing product, explore new financial product offerings, accelerate growth across its three markets, and further develop its B2B platform.
"We at Power Financial are proud to be Wealthsimple's greatest champion as it becomes a global leader in marrying unique digital technology with great content and service,” said Paul Desmarais III, Chairman of Wealthsimple and Senior Vice-President at Power Financial Corporation. “Wealthsimple is delivering the benefits of financial advice to more and more people to help them create a better future.”
Wealthsimple has a strategic partnership with the Power Financial group of companies, which have invested £94 million ($165M CAD) in capital since 2015. Headquartered in Canada, with offices in London, Toronto and New York, Wealthsimple launched in the U.K. in September 2017.