UBS is reportedly looking to sell its digital wealth management platform SmartWealth to personal finance app SigFig.
The bank has discontinued the wealth management service after a review of its pilot, which has been live since last year, revealed there was little short-term potential for the solution, according to an article by Reuters which cites an internal memo.
SmartWealthâ€™s website confirms UBS has ended its current operations, stating it is now closed to new clients.
In a statement from the bank it said it was happy with the progress the solution had received; however, there was limited near-term potential. Due to this UBS decided to sell it to SigFig, which UBS has an equity stake in, the article said.
Founded in 2007, SigFig offers investment advice to investors of all types. Through data science, technology and a simple design, the platform enables investors to reach financial targets, no matter their experience or volume of available capital.
Its services include an end-to-end enterprise digital wealth management platform that supports automated investments for financial institutions such as Wells Fargo, UBS, and Citizens Bank and their customers which are around 70 million in total.
Last month, the company picked up a $50m Series E round which was led by growth equity firm General Atlantic. The funding was raised to support the development of its technology and expand its product suite for consumers, advisors and financial institutions.
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