US-based digital wealth manager Personal Capital has received $40m in a series E extension led by IGM Financial, a subsidiary of financial services investment group Power Financial Corporation, to close the round at $115m.
Unnamed existing investors also participated in the extension, which was raised at a higher valuation than the initial $75m invested by Personal Capital across two tranches in May and December 2016 at a $500m valuation.
The company’s existing investors include financial services firms BBVA and USAA as well as Corsair Capital, Institutional Venture Partners (IVP), Venrock and Crosslink Capital.
Personal Capital operates a wealth management service that combines online financial tools with input from registered financial advisors. It has $4.9bn in assets under management, with $1.4bn added since the beginning of the year.
The capital will go toward product development, marketing activities and the recruitment of advisors in Dallas, Atlanta, New York, Los Angeles, Chicago, San Francisco and Denver.
The company also plans to increase its precision offerings for specific consumers, such as its Private Client Service, which is available to clients with more than $1m in assets.
Personal Capital has now raised approximately $215m in equity funding. USAA and BBVA Ventures, the corporate venturing subsidiary of BBVA, contributed to its $50m series D round in 2014 alongside Corsair Capital, IVP, Venrock and Crosslink.
Jay Shah, chief executive of Personal Capital, said: “The support and participation from existing investors and IGM/Power Financial has been critical to helping us fulfil our mission of creating better financial lives through technology and people.
“Our rapid growth reaffirms that we are solving a major pain point for consumers by giving them conflict-free advice and full transparency and insight into their financial lives. This additional funding enables us to capitalise even further on our rapid growth trajectory.”