Wealth tech investments reached a record of 74 deals in 2016. This subset of fintech companies offer an alternative to traditional wealth management firms by offering technology-enabled tools that are advancing the investment and wealth management profession.
We identified over 90 companies in the wealth tech space and organized them into 7 main categories based on the services and software they offer, then sub-categorized them by the client group they serve, whether business-to-consumer (B2C), business-to-business (B2B) or both. B2C companies serve individual or retail investors, while B2B companies provide software and services for wealth managers, family offices, or investment advisors.
We included companies in our map based on recency of funding, quality of investors, and Mosaic score, CB Insights’ proprietary algorithm that uses financial and non-financial signals to predict private company health.
We define investment & wealth management tech to include fintech companies that offer an alternative to traditional wealth management firms and technology-enabled tools that are advancing the investment and wealth management profession. This includes full-service brokerage alternatives, automated and semi-automated robo-advisors, self-service investment platforms, asset class specific marketplaces, and tools for both individual investors and advisors to keep up with the changing dynamics in wealth management.
This category excludes both personal and corporate expense management and monitoring tools, tools specific to investment banks, and high-frequency trading platforms.
Click on the image below to enlarge. This market map is not meant to be exhaustive of companies in the space. Categories are not mutually exclusive. We categorized companies based on their primary use case.
- Robo-advisor: This category includes automated investment platforms that leverage technology to lower account minimums and reduce annual advisory fees. The investments offered are tailored to the client’s risk profile typically based on a questionnaire. Robo-advisors differentiate themselves through a range of added services that can include a 24-hour automated support desk, access to a human advisor, tax optimization, and portfolio re-balancing.
- B2C: B2C robo-advisors target individual investors. One of the most well-funded robo-advisors is Wealthfront. Wealthfront has raised approximately $129.5M from investors, including Social Capital, Spark Capital, Greylock Partners, and Index Ventures.
- B2B: These companies offer white-label software for advisors and financial services firms to offer an automated investment strategy to their customers. This includes AdvisorEngine which raised a $20M Series A investment from WisdomTree Investments.
- B2C & B2B: These companies offer services directly to individual investors and provide a mix of software and services to financial services firms. This includes Betterment, one of the largest independent robo-advisors in the category. Betterment also offers “Betterment for Advisors,” a white-label service for firms to offer an in-house automated platform. Betterment received the top deal in the space in 2016.
- Robo-retirement: Our robo-retirement category contains automated wealth management platforms that specifically target retirement savings accounts including 401(k), 403(b), and IRA.
- B2C: Blooom provides automated retirement advisory services to help individual investors manage their 401(k) and 403(b) savings plans. The company raised a $9.15M Series B in Q4’16.
- B2B: ForUsAll provides automated retirement savings plans to small- and medium-sized businesses and can be used as a standalone service or integrated with existing HR platforms. The company raised a $9.5M Series A investment from Foundation Capital.
- B2C & B2B: NextCapital Group offers a retirement savings platform for individual investors and is an open-architecture platform that can be configured to meet investment advisory firms’ needs.
- Micro-investing: These specialized investment platforms flip traditional investment practices by increasing the investment frequency and lowering the minimum contribution amount. Investment advisors traditionally make money based on transaction fees and recurring management fees. In contrast, these platforms charge a $1 monthly subscription fee and do not charge a management fee to use the platform. Because advisors work on commission, this payment model is not appealing to larger institutions and may explain why their customers are only B2C retail investors. Stash, for example, is a goal-based digital investment platform that lets investors contribute as little as $5. Another company, Acorns, rounds up credit and debit card purchases to the nearest dollar then automatically collects and invests that spare change.
- Digital Brokerage: This category includes alternative brokerage platforms for retail investors and software to implement a digital brokerage. Asset classes offered include stocks and bonds as well as alternative asset classes typically only available to accredited investors.
- B2C: eToro is an online brokerage that doubles as a social investment network. Social investment networks connect investors on a central platform to interact, see other people’s investment strategies, and pick traders whose activity they want to follow. eToro is a unique social investment network because it is also a registered brokerage that allows investors to execute on these insights.
- B2B: Artivest Holdings provides fund managers with a digital platform that streamlines access to investors. The company raised a $15M Series A investment that included Anthemis Group and RRE Ventures.
- B2C & B2B: Motif Investing is an online brokerage that allows retail investors to create and trade baskets of stocks and bonds or, “motifs.” Motif also offers an advisory platform for advisors to build investment portfolios or leverage existing motifs to sell to clients. Motif Investing received a $40M investment from Renren for a corporate minority stake.
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Wealth Tech Startups
- Investing Tools: This category is a mix of software and services that provide comparison tools, research, and access to a network of advice.
- B2C: NerdWallet is a digital research platform that provides individual investors with access to financial resources and advice from a network of experts. The company raised $5M in growth equity that included Camelot Financial Capital Management.
- B2B: Kensho Technologies developed Warren, a natural language-based algorithmic technology that provides on-demand analytics and information for investors, wealth managers, and financial analysts.
- B2C & B2B: Wikifolio Financial Technologies is among a growing trend of social investment networks mentioned above. The platform is used by both retail investors and asset managers who create and share their portfolios through the platform. Investors use the wikifolio portfolios as an investment tool and execute trades on their preferred brokerage.
- Portfolio Management: This category includes software that helps investors and advisors centralize investment portfolios in one platform, analyze and forecast portfolio performance, and make portfolio allocation decisions.
- B2C: Grisbee is a digital portfolio management platform for individual investors to centralize their various accounts, receive tailored advice, and monitor the financial health of their investments. The France-based company received a $3.3M investment in Q4’16.
- B2B: Addepar provides software to unify investment management and aggregates clients’ investment portfolios. Addepar customers include family offices, registered investment advisors (RIAs), foundations and endowments, global advisories, banks, financial services firms, and wirehouses.
- Financial Services Software: This category of companies provides specialized software that supports adoption of a digital wealth management and investing strategy. Customers include banks, financial services firms, and fintech startups. This category is exclusively B2B focused and includes Plaid Technologies, a software intermediary that securely connects financial application users with their respective bank accounts.
See the full list of startups below:
|Wealth Tech Market Map|
|Alkanza||ALL Venture Partners, Grupo Sura||Robo-Advisor – B2C|
|Aspiration||GSV Capital, Renren Lianhe Holding||Robo-Advisor – B2C|
|Ellevest||Khosla Ventures, Aspect Ventures, AContour Venture Partners, Max Levchin, Ulu Ventures||Robo-Advisor – B2C|
|Folio||DCM Ventures, Draper Nexus Ventures, Mitsui Sumitomo Insurance Venture Capital, Monex Ventures, and Rakuten Ventures||Robo-Advisor – B2C|
|Goalwise||Undisclosed Investors||Robo-Advisor – B2C|
|Indexa Capital||Cabiedes & Partners, FIDES Capital, and Viriditas Ventures||Robo-Advisor – B2C|
|invest.com||Renren and SingulariTeam||Robo-Advisor – B2C|
|M1 Finance||Undisclosed Investors||Robo-Advisor – B2C|
|MoneyFarm||Allianz Ventures, Cabot Square Capital, and United Ventures||Robo-Advisor – B2C|
|Nest Wealth Asset Management||Metroland Media||Robo-Advisor – B2C|
|Nutmeg||Armada Investment Group, Balderton Capital, Convoy Global Holdings, and Pentech Ventures||Robo-Advisor – B2C|
|Personal Capital||BlackRock, Correlation Ventures, Corsair Capital Management, Crosslink Capital, IGM Financial, Institutional Venture Partners, Propel Venture Partners, Silicon Valley Bank, and USAA||Robo-Advisor – B2C|
|Scalable Capital||German Startups Group, Holtzbrinck Ventures, Mato Peric, Monk’s Hill Ventures, Tengelmann Ventures||Robo-Advisor – B2C|
|Six Park||Undisclosed Investors||Robo-Advisor – B2C|
|Vaamo||Route 66 Ventures||Robo-Advisor – B2C|
|Wacai||Ally Bridge Group, CDH Investments, China Broadband Capital, China International Capital Corporation, GX Capital, IDG Capital Partners, New Horizon Capital, and Qiming Venture Partners||Robo-Advisor – B2C|
|WealthBar||Nicola Wealth Management||Robo-Advisor – B2C|
|Wealthfront||Social Capital, Spark Capital, DAG Ventures, Greylock Partners, Index Ventures, and Ribbit Capital||Robo-Advisor – B2C|
|WealthNavi||DBJ Capital, Infinity Venture Partners, Mizuho Capital, SBI Group, SBI Investment, and SMBC Venture Capital||Robo-Advisor – B2C|
|Wealthsimple||Power Financial Corporation||Robo-Advisor – B2C|
|WiseBanyan||Financial Solutions Lab||Robo-Advisor – B2C|
|AdvisorEngine||WisdomTree Investments||Robo-Advisor – B2B|
|Fount||Korea Investment Partners, KT Investment,and Smilegate Investments||Robo-Advisor – B2B|
|Liqid Investments||Berliner Volksbank Ventures, Dieter von Holtzbrinck Ventures, HQ Trust, and Project A Ventures||Robo-Advisor – B2B|
|Quantifeed||PGA Venture Partners||Robo-Advisor – B2B|
|Third Financial Software||CIT Growth Capital||Robo-Advisor – B2B|
|Trizic||Broadhaven Capital Partners, Commerce Ventures, Freestyle Capital, and Operative Capital||Robo-Advisor – B2B|
|SigFig||Bain Capital Ventures, Union Square Ventures, DCM Ventures, Comerica Bank, Eaton Vance Corp., New York Life Insurance Company, Nyca Partners, Santander InnoVentures, and UBS||Robo-Advisor – Both B2C & B2B|
|Betterment||Red Swan Ventures, Anthemis Group, Bessemer Venture Partners, Citi Ventures, Francisco Partners, Globespan Capital Partners, Menlo Ventures, Northwestern Mutual Capital, Reinmkr Capital||Robo-Advisor – Both B2C & B2B|
|CashBoard||500 Startups, Digital Space Ventures, Earlybird Venture Capital, Heilemann Ventures, Redalpine Venture Partners, and SevenVentures||Robo-Advisor – Both B2C & B2B|
|Eqis Holdings||Long Ridge Equity Partners||Robo-Advisor – Both B2C & B2B|
|Lantouzi||Bertelsmann Asia Investments, Ceyuan Ventures, and Source Code Capital||Robo-Advisor – Both B2C & B2B|
|Bento||Undisclosed Investors||Robo-Advisor – Both B2C & B2B|
|FeeX||Blumberg Capital, Collaborative Fund, and Horizons Ventures||Robo-Retirement – B2C|
|Robustwealth||Undisclosed Investors||Robo-Retirement – B2C|
|Blooom||Allianz Ventures, Commerce Ventures, Industry Ventures, KCRise, Nationwide Ventures, UMB Financial Corp, QED Investors, TTV Capital, and Hyde Park Venture Partners||Robo-Retirement – B2C|
|ForUsAll||Foundation Capital and Horizons Ventures||Robo-Retirement – B2B|
|Guideline||Lerer Hippeau Ventures, New Enterprise Associates, Propel Venture Partners, 500 Startups, and BoxGroup||Robo-Retirement – B2B|
|Vault||Plug and Play Accelerator||Robo-Retirement – B2B|
|Vestwell||Commerce Ventures, F-Prime Capital, FinTech Collective, and Primary Venture Partners||Robo-Retirement – B2B|
|NextCapital Group||AllianceBernstein, FinTech Collective, Kelvingrove Ventures, Manulife Financial, Route 66 Ventures, Russell Investments, Transamerica Ventures, and Vermont Seed Capital Fund||Robo-Retirement – Both B2B & B2C|
|Acorns||Greycroft Partners, e.ventures, Garland Capital Group, JAM Equity Partners, MATH Venture Partners, Point72 Ventures, and Sound Ventures||Micro-Investing – B2C|
|Stash||Breyer Capital, Entree Capital, Goodwater Capital, and Valar Ventures||Micro-Investing – B2C|
|8 Securities||China Growth Capital, Leitmotiv Private Equity, Route 66 Ventures, and Velocity Capital Private Equity||Digital Brokerage – B2C|
|DriveWealth||Route 66 Ventures||Digital Brokerage – B2C|
|eToro||Spark Capital, BRM Group, CommerzVentures, , MoneyTime Ventures, and Silicon Valley Bank||Digital Brokerage – B2C|
|Futu5||Matrix Partners China, Sequoia Capital China and Tencent Holdings||Digital Brokerage – B2C|
|Kapitall||Bendigo Partners, Linden Venture Fund||Digital Brokerage – B2C|
|LOYAL3||Barry Schneider, Chris Kelly and DNS Capital||Digital Brokerage – B2C|
|Raisin||Index Ventures, Ribbit Capital, Thrive Capital, and DN Capital||Digital Brokerage – B2C|
|Robinhood||Index Ventures, Slow Ventures, Andreessen Horowitz, New Enterprise Associates, Frontier Tech VC, Google Ventures, Machine Shop Ventures, and Ribbit Capital||Digital Brokerage – B2C|
|Rubicoin||Enterprise Ireland, The Motley Fool||Digital Brokerage – B2C|
|Savedo||HW Capital, Kreos Capital, Point Nine Capital, and XAnge Private Equity||Digital Brokerage – B2C|
|Silicon Investing||Pacific & Orient||Digital Brokerage – B2C|
|SOGO Financial Group||Undisclosed Investors||Digital Brokerage – B2C|
|Stockpile||Arbor Ventures, Mayfield Fund and Sound Ventures||Digital Brokerage – B2C|
|tastyworks||Technology Crossover Ventures||Digital Brokerage – B2C|
|Yomoni||Credit Mutuel Arkea and Iéna Venture||Digital Brokerage – B2C|
|Artivest Holdings||500 Startups, Deep Fork Capital, FinTech Collective, Red Swan Ventures, and RRE Ventures||Digital Brokerage – B2B|
|Electronifie||Undisclosed Investors||Digital Brokerage – B2B|
|OpenDoor Trading||Hartfield,Titus & Donnelly, John Brynjolfsson||Digital Brokerage – B2B|
|Trumid||SenaHill Partners, Shumway Capital, Soros Fund Management, and Thiel Capital||Digital Brokerage – B2B|
|CoInvestor||Chelverton Asset Management, MMC Ventures, and Oxford Capital Partners||Digital Brokerage – Both B2C & B2B|
|Motif Investing||Balderton Capital, Foundation Capital, Goldman Sachs, Ignition Partners, J.P. Morgan Chase & Co., Norwest Venture Partners, Renren, Undisclosed Investors, Wharton Venture Initiation Program, Wicklow Capital||Digital Brokerage – Both B2C & B2B|
|Tradier||F-Prime Capital||Digital Brokerage – Both B2C & B2B|
|Huddlestock||Undisclosed||Investing Tools – B2C|
|Instavest||Cherubic Ventures and FundersClub||Investing Tools – B2C|
|NerdWallet||Camelot Financial Capital Management, iGlobe Partners, Institutional Venture Partners, RRE Ventures, and Silicon Valley Bank||Investing Tools – B2C|
|Nextmarkets||EXTOREL Management- und Beteiligungsgesellschaft and FinLab||Investing Tools – B2C|
|Openfolio Corporation||FinTech Collective||Investing Tools – B2C|
|Algomi||Euronext and Lakestar Tom Glocer||Investing Tools – B2B|
|Canalyst||Vanedge Capital||Investing Tools – B2B|
|Harvest Exchange Corp.||GoldenTree Asset Management, Highland Capital Management, Third Point, Trusted Ventures||Investing Tools – B2B|
|Kensho Technologies||Accel Partners, New Enterprise Associates, Work-Bench, General Catalyst, Bank of America Merril Lynch, Breyer Capital, Citigroup, F-Prime Capital, Goldman Sachs, Google Ventures, J.P. Morgan Chase & Co., Morgan Stanley, NBCUniversal, Promus Ventures, S&P Global, and Wells Fargo & Company||Investing Tools – B2B|
|LMRKTS||FinTech Innovation Lab, Motive Partners, Undisclosed Investors||Investing Tools – B2B|
|OpenGamma||Accel Partners, Cristobal Conde, Euclid Opportunities, FirstMark Capital, Illuminate Financial Management, Japan Exchange Group, and NEX Group||Investing Tools – B2B|
|Trackinsight||Aviva France Impact Investing and NewAlpha||Investing Tools – B2B|
|Alpaca||D4V, Eric Di Benedetto, Mitsubishi UFJ Capital, Monex Ventures||Investing Tools – Both B2C & B2B|
|Estimize||Agilic Capital, Contour Venture Partners, Frank Sica, Longworth Venture Partners, and WorldQuant Ventures||Investing Tools – Both B2C & B2B|
|StockTwits||Foundry Group, Social Leverage, and True Ventures||Investing Tools – Both B2C & B2B|
|TradingView||IrishAngels, iTech Capital, Sam Yagan, Steve Farsht, and Techstars||Investing Tools – Both B2C & B2B|
|Wikifolio Financial Technologies||Lang & Schwarz, Michael Grabner Media, SpeedInvest, VHB Ventures||Investing Tools – Both B2C & B2B|
|Ycharts||Amicus Capital, Hyde Park Angels, I2A, Morningstar, and REV||Investing Tools – Both B2C & B2B|
|Grisbee||Undisclosed Investors||Portfolio Management – B2C|
|Addepar||8VC, Anduin Ventures, Blumberg Capital, ff Venture Capital, Sway Ventures, and Valor Equity Partners||Portfolio Management – B2B|
|Advizr||Various angel investors||Portfolio Management – B2B|
|iQuantifi||Undisclosed Investors||Portfolio Management – B2B|
|Jacobi||Undisclosed Investors||Portfolio Management – B2B|
|Quovo||Continuity Capital, FinTech Collective, and Long Light Capital||Portfolio Management – B2B|
|Investcloud||J. P. Morgan Chase & Co and FTV Capital||Financial Services Software – B2B|
|Plaid Technologies||New Enterprise Associates, Spark Capital, Google Ventures, American Express Ventures, BoxGroup, Citi Ventures, Felicis Ventures, Goldman Sachs, and Homebrew||Financial Services Software – B2B|
|Riskalyze||FTV Capital||Financial Services Software – B2B|
|Scivantage||Brown Brothers Harriman & Co., Comerica Bank, Edison Partners, Greenlight Private Equity Partners, ORIX Growth Capital, Provident Bank||Financial Services Software – B2B|
|Starburst Labs||Bel45 Capital Partners||Financial Services Software – B2B|
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