Vestwell raises $125 million

Vestwell, which provides the infrastructure for employers to power workplace savings programs, has raised $125 million in Series D funding led by Lightspeed Venture Partners, with participation from Fin Capital, Primary Venture Partners, FinTech Collective, Blue Owl, and HarbourVest.

Founded in 2016 and backed by Manulife, Nationwide Ventures, Allianz Life Ventures, and Northwestern Mutual, the New York-baed startup provides the underlying infrastructure for workplace savings and investing programs, such as 401(k) & 403(b) retirement plans. The firm’s API-based technology is designed to support a diverse ecosystem of financial services and fintech companies from registered investment advisors and payroll providers, to banks, broker-dealers, credit unions, insurers, asset managers, and more.

According to Bloomberg, this latest round gives Vestwell a ~$1 billion valuation. Vestwell says that it “was already poised” to reach profitability and the new funding ensures the company is fully capitalized for the future.