Toronto-based investment startup Wealthsimple has hit a milestone of $1 billion in managed assets from its over 30,000 clients, in just over two years of operation. The company also announced it raised an additional $50 million from its main backer, The Power Financial Group.
The company also got a visitor at their headquarters today: Prime Minister Justin Trudeau. The nation’s leader had this to say about the company: “Wealthsimple is an example of fintech innovation at it’s finest. Hitting a billion dollars in assets is no small feat for any company, let alone one that’s only two years old. To put it mildly, the success of this business has turned heads all over the world.”
CEO Michael Katchen said in a blog post, “We feel pretty confident that our best days are ahead.” The company’s easy-to-use website also recently won their second straight Webby Award, in the Financial Services/Banking category.
Wealthsimple is targeting millennials with its simple investing plan, which uses algorithms to invest money in low-fee, diversified ETFs (exchange traded funds), automatically rebalancing and reinvesting dividends at no extra charge. It’s a set it and forget it approach, geared towards those who can’t be bothered to actively manage their investments, with lower fees compared to traditional mutual funds.
Customers can manage their accounts entirely from the Wealthsimple iOS or Android apps, making for easy account management without needing to visit a bank or physical location.
Wealthsimple offers the first $5000 in funds managed free—but if you sign up here with iPhoneinCanada, you’ll get an extra $5000 managed free, to $10,000 total.
Disclosure: Wealthsimple is an affiliate partner of iPhoneinCanada.ca and this offer allows readers to support the site.