Aviva has bought a majority stake in to robo-advisor solution provider Wealthify, for an undisclosed value.
UK-based Wealthify is a robo-advisor enable investment platform, which is designed to encourage millennials and those new to investing to start making commitments to opportunities including alternatives, bonds, properties and shares, among others. The platform allows users to invest from as little as Â£1, with investments available through ISAs or general investment accounts.
Through the platform the user is able to set their investment style to be anywhere from cautious to adventurous, with Wealthify then selecting a diverse investment plan. Management fees start from 0.7 per cent a year, which goes down to 0.5 per cent on big investments, with additional fund provider charges around 0.19 per cent.
Following the investment, the Wealthify platform will be available to Aviva customers through the MyAviva app.
This latest injection of capital will allow the company to develop its technology to enhance its proposition, and to accelerate its growth plans.
Wealthify co-founder and CEO Richard Theo said, â€œThis significant investment in the emerging â€˜roboâ€™ market, by one of the worldâ€™s largest and most recognised financial services brands, is validation of the vision we set out to achieve three years ago to change investing for the better. Avivaâ€™s investment and access to their millions of UK customers gives us confidence that we can become the leader in this market in the UK and beyond.â€
Earlier in the year Aviva led the Â£5m Series A of connected home insurance company Neos, with other backers including Munich Re.
In Q2 2017, WealthTech deals hit a new record with 116 having been completed, but while there was a record amount of deals, the total investment value was more than $200m less than Q4 2016.
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