The robo-adviser fintech increased its AUA by over $900 million in the first three months of 2019. Over the same period, Power Financial and its subsidiaries invested an additional $30 million, bringing the firm’s total voting interest in Wealthsimple up to 88.6 per cent. (The Logic)
Talking point: Wealthsimple is growing, in part, because of its new offerings like Wealthsimple Invest, Wealthsimple Save, Wealthsimple Trade, Wealthsimple for Advisors and Wealthsimple for Work. Earlier this month, CEO Michael Katchen spoke with David about the company’s push for open banking in Canada. The same day, the firm launched a foundation to help one million low-income children save for school. All these new offerings—not to mention the marketing spend accompanying them—require a fair bit of cash. Power Financial is providing that money. So far, the firm has invested $238 million in the fintech.
Clarification: This story has been updated to clarify Power Financial’s 88.6 per cent voting interest.