Canadian digital wealth management platform Wealthsimple has secured C$114m ($86.2m) in a fundraising led by growth equity firm TCV. The latest funding takes the robo-adviser’s valuation to C$1.4bn.
Greylock, Meritech, Two Sigma Ventures and existing backer Allianz X joined TCV in the fundraising.
Using the new infusion, Wealthsimple plans to expand its market position and build out its product line-up.
The firm also intends to use the money to expand its team in Canada.
Wealthsimple co-founder and CEO Mike Katchen said: “There’s still so much room to grow, and to have investors of this calibre join us is an incredible vote of confidence in both our mission and our ability to deliver on it.”
As part of the deal, TCV general partner David Yuan will get a seat on the Wealthsimple board.
TCV has so far invested in more than 350 technology firms, which include Airbnb, Klarna, Netflix, Nubank, Peloton, Revolut, Spotify, and Zillow.
Greylock has backed companies like LinkedIn and Airbnb.
The investment in Wealthsimple marks Meritech’s first investment in Canada. Meritech has previously collaborated with 200 companies such as Salesforce and Snowflake.
Yuan noted: “TCV is focused on businesses that have the potential to transform industries, and we are thrilled to work with Mike and the Wealthsimple team to build a leader in financial services and an important consumer platform.”
Eatablished in 2014, Wealthsimple offers automated investing, commission-free stock and crypto trading, a savings account, and a tax filing software.
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In May last year, Wealthsimple raised C$100m in a funding round led by Allianz X, the digital investment arm of German insurer Allianz.
In February 2018, Wealthsimple received C$65m investment from the Power Financial group of companies.