Allianz X and Power Financial Corporation co-invest CAD$100 million in Wealthsimple
• Wealthsimple to use capital to evolve its product suite and accelerate growth in its markets of Canada, the U.S., and the U.K.
• Allianz X to join Wealthsimple’s Board of Directors
• Partnership to further development of digital wealth management ecosystem
Munich / Toronto, May 22, 2019 – Allianz X, the digital investment unit of the Allianz Group, and Canada-based Power Financial Corporation, a financial management and holding company, announced today that they will invest CAD$100 million in Wealthsimple, a financial technology company that offers Canada’s leading online investing service and commission-free trading app. Wealthsimple will use the new capital to deepen its customer relationships by developing its existing services and new product offerings, as well as evolving its B2B platform for advisors and institutions.
Allianz X invests in innovative digital companies around the world. Its portfolio includes U.S. insurtech Lemonade, micro-insurer BIMA, and ride hailing companies GO-JEK and SafeBoda.
“As a digitally-enabled financial services provider with a strong customer focus, Wealthsimple can complement Allianz’s business in a number of areas,” said Nazim Cetin, CEO of Allianz X. “This investment underlines our commitment to truly digital companies and is an excellent addition to our portfolio. We look forward to collaborating with Wealthsimple in our digital wealth management ecosystem.”
Since launching in September 2014, Wealthsimple has made investing more accessible through low fees, and easy-to-use digital tools, including its managed portfolio service, Wealthsimple Invest, and its $0-commission trading app, Wealthsimple Trade.
“Bringing Allianz into this investment round is a landmark transaction in Canadian Fintech. The partnership between Wealthsimple, Portag3 Ventures and the Power group since the founding of the company in 2014 is unique,” said Paul Desmarais III, Chairman of Wealthsimple. “We believe the coming together of large incumbent companies that understand how to build global asset managers with innovative, digital-first companies is the future of financial services.”
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