Wealthsimple Raises C$100M

Wealthsimple – the Canadian fintech startup offering online investing and commission-free trading, has raised C$100m in a funding round led by Allianz X. Management and holding company Power Financial Corporation also participated in the round.

Through its managed portfolio service, Wealthsimple Invest, and its $0-commission trading app, Wealthsimple Trade, the company makes investing accessible to everyone with low fees and easy-to-use digital tools. Wealthsimple will use the new capital to deepen its customer relationships by further developing its existing services and exploring new product offerings while evolving its B2B platform for advisors and institutions, and accelerating growth across its three markets.

“We’re thrilled to welcome Allianz as an investor and partner in Wealthsimple, which is a major endorsement of our company and growth trajectory. We’re now backed by companies that represent trillions of assets globally. We believe their deep expertise, plus the product, the brand and the team we’ve built, are a winning combination to further our mission to make great financial products and advice accessible to everyone.” – Wealthsimple’s cofounder and CEO, Michael Katchen. 

“As a digitally-enabled financial services provider with a strong customer focus, Wealthsimple can complement Allianz’s business in a number of areas. This investment underlines our commitment to truly digital companies and is an excellent addition to our portfolio. We look forward to collaborating with Wealthsimple in our digital wealth management ecosystem.” – Nazim Cetin, CEO of Allianz X.

“Bringing Allianz into this investment is a landmark transaction in Canadian Fintech. The partnership between Wealthsimple, Portag3 Ventures and the Power group since the founding of the company in 2014 is unique. We believe the coming together of large incumbent companies that understand how to build global asset managers, with innovative, digital-first companies, is the future of financial services.” – Wealthsimple’s chairman, Paul Desmarais III.

Bottom Line: Wealthsimple manages over $4.5b for more than 150,000 clients in Canada, US and UK.