Wealth management platform Moneyfarm has secured £40m in its latest funding round, which was led by Allianz Asset Management.
As part of the transaction, Allianz has raised its minority stake in the company, following its initial backing in 2016. Other commitments to the round came from Endeavor Catalyst, Fondazione di Sardegna and previous investors Cabot Square Capital and United Ventures. This latest capital brings Moneyfarm’s total funding efforts to £60m.
Founded in 2011, Moneyfarm offers consumers with access to investment products to support their financial health. Users are matched with a personalised portfolio to meet their risk appetite and time horizon, and is then managed by its own investment experts. Additional funds can be injected into the portfolio through single instalments, direct-debits or ISA transfers.
The platform, which operates in Italy and the UK, has three products available, a general investment portfolio account, a stocks and shares ISA or a pension portfolio.
Moneyfarm has seen strong growth over the past year, with its assets under management raising by 50 per cent to £400m. There are currently around 27,000 active investors using Moneyfarm, according to the company.
Through this equity injection, Moneyfarm hopes to expand its advisory services with the inclusion of goal-based investments. The company is also hoping to increase its customer base by offering deeper personalisation of advice.
Moneyfarm CEO and co-founder Giovanni Dapra said, “Adding an additional layer of personalisation means that individuals and families will be allocated portfolios that help them achieve their financial dreams, whether it’s a child’s higher-education or building a retirement nest-egg.
“We’re excited about incorporating more data points into the investment advice process, so investments are catered to households as well as individuals’ investment needs.”
Last year, Moneyfarm acquired the technology behind personal finance chatbot Ernest. Following the deal, the company hopes to implement the service to give users tools to better manage their money, budgets and investments.
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