Allianz X, the digital investment unit owned byinsurance firm Allianz, led a C$100m ($74.6m) funding round for Canada-based wealth management platform Wealthsimple on Wednesday that included financial services provider Power Financial.
Founded in 2014, Wealthsimple has developed an online investment platform that automatically generates a diversified portfolio based on a user’s chosen risk profile. It does not have a minimum investment size and charges between 0.5% and 0.7% in fees.
Wealthsimple offers three distinct packages, depending on how much money clients choose to invest, with the higher-end product including access to a dedicated adviser.
The company currently manages approximately $4.5bn of capital for more than 150,000 customers in the US, Canada and the UK. It will use the funding to support further growth in those markets, including through recruitment and introducing additional products such as mortgages.
Power Financial had previously invested a total of $165m in the company, most recently supplying $51m in February 2018. The corporate had already provided $38m in February 2017 and another $37m three months later.
Wealthsimple had already received $24m in funding from Power Financial in 2015, after fintech-focused venture capital firm Impression Ventures and assorted angel investors had committed $1.7m the year before.
