Oct 21, 2020

Press Release - September 22 2020 Investments from FP Credit, Oak HC/FT and IA Capital Group to advance retirement income capabilities and growth partnerships CHICAGO -- NextCapital , the leader in enterprise digital advice, today announced $30 million in growth financing, bringing the company’s total funding to $85 million. The financing was led by FP Credit, the credit investment arm of Francisco Partners, a leading global investment firm. Oak HC/FT and IA Capital Group also participated in the capital raise. NextCapital enables its commercial partners to rapidly bring to market a cost-effective, full-stack digital advice solution that is built to support the demanding requirements of large enterprises. The company enables scalable financial planning, advice, and managed accounts across leading financial institutions. “This funding advances our mission to help everyone retire successfully,” said NextCapital Chief Executive Officer and Co-Founder John Patterson. "Our partners are equally essential to the success of this mission, so we are excited to use this funding to further invest in our Partner Success program. This capital raise also allows us to extend our best-in-class workplace and rollover managed advice platform, as well as expand our retirement income offering.” “NextCapital is at the forefront of the digital transformation sweeping the $8 trillion defined contribution market,” said Peter Christodoulo, partner at Francisco Partners. “Especially in the current economic climate, there is an urgent need to give Americans institutional-grade advice both in the accumulation phase for younger workplace savers and during the decumulation phase for older investors.” NextCapital’s multi-channel solution supports defined contribution, IRA rollover, and retail accounts. Other key configuration features include: Custom user experience and ongoing engagement Configurable investment methodologies and advisory roles Self-service and advisor-assisted service models Plan advisor enablement Integrations with 401(k) recordkeeping systems and retail custodians “NextCapital is unique among its competitors in their ability to work with all firms in the retirement ecosystem, from large asset managers to recordkeepers to large advisory firms. NextCapital can build completely customized managed advice solutions for their partners that fulfill each institution’s unique requirements,” said Alois Pirker, research director for Aite Group 's wealth management practice. “NextCapital’s platform addresses the needs of enterprise partners across the entire retirement landscape.” Francisco Partners was advised by Akin Gump Strauss Hauer & Feld LLP as its legal advisor. About NextCapital Group NextCapital is an enterprise digital advice company whose mission is to help everyone retire successfully. NextCapital partners with financial institutions to deliver personalized planning and managed accounts to individual investors across multiple channels, including 401(k), IRA, and taxable brokerage accounts. NextCapital’s open-architecture digital advice solution provides integrated account aggregation, analytics, planning and portfolio management, and allows partners to customize advice methodology and fiduciary roles. “NextCapital” is a brand name representing NextCapital Group, Inc. and its wholly owned subsidiaries, NextCapital Software, Inc. and NextCapital Advisers, Inc. NextCapital Advisers, Inc. is an investment adviser registered with the Securities and Exchange Commission (SEC). NextCapital Software, Inc. is not registered with the SEC and does not provide investment advice. About Francisco Partners Francisco Partners is a leading global investment firm that specializes in partnering with technology and technology-enabled businesses. Since its launch 20 years ago, Francisco Partners has raised over $24 billion in committed capital and invested in more than 300 technology companies, making it one of the most active and longstanding investors in the technology industry. The firm invests in opportunities where its deep sectoral knowledge and operational expertise can help companies realize their full potential. For more information on Francisco Partners, please visit www.franciscopartners.com . About Oak HC/FT Founded in 2014, Oak HC/FT is the premier venture growth-equity fund investing in Healthcare Information & Services ("HC") and Financial Services Technology ("FT"). With $1.9 billion in assets under management, we are focused on driving transformation in these industries by providing entrepreneurs and companies with strategic counsel, board-level participation, business plan execution and access to our extensive network of industry leaders. Oak HC/FT is headquartered in Greenwich, CT, with offices in Boston and San Francisco. Follow Oak HC/FT on Twitter , LinkedIn , and Medium . About IA Capital Group Founded in 1992, IA Capital Group Inc. (previously Inter-Atlantic Group) is based in New York City and manages venture capital funds under the Inter-Atlantic name. The firm has a 20 year track record in insurtech and fintech venture capital, the longest of any insurtech-focused venture capital firm. Its fully-exited first fund, Inter-Atlantic Fund LP, had three portfolio company IPOs and ranks as the number one performing fund in several databases among comparable funds of its vintage. IA Capital currently makes strategic venture capital investments on behalf of 15 insurance companies. Francisco Partners