US-based automated investing service Betterment, which counts financial services provider Citi among its investors, closed a $60m series D round led by private equity firm Francisco Partners yesterday.
The round, which also featured Bessemer Venture Partners, Menlo Ventures and Northwestern Mutual Capital, was raised at a valuation of between $400m and $500m, according to the Wall Street Journal.
Betterment offers an automated investment platform that can build a personalised portfolio spanning a range of asset classes. It currently manages a total of about $1.4bn of assets for a customer base of more than 65,000.
The round brings Betterment’s total funding to $105m since it was founded in 2008.
Citi Ventures, Citi’s strategic investment unit, took part in the company’s $32m series C round in April 2014, along with Northwestern Mutual Capital, Bessemer, Globespan Capital Partners, Menlo Ventures and Anthemis Group.
Betterment founder and CEO Jon Stein said: “This new capital will allow us to grow even faster and increase the development of new products that will continue to reinvent investing around what customers want: a seamless, personalised experience that is aligned with their best interest and optimised for the highest expected returns net of all costs.”