Wealthsimple launches in the UK

The Canadian market leader is eyeing to be the first 'global' robo-advice service.

The Canadian market leader is eyeing to be the first 'global' robo-advice service.

Wealthsimple, a market leading digital wealth manager in Canada and North America, has launched into the UK market.

The firm, one of a new breed of wealth management firms offering lower cost automated passive investment portfolios, is somewhat differentiated from UK peers owing to its hybrid approach which also allows access to financial advisers.

Wealthsimple has a global reach of 40,000 customers and is currently managing £750m. It is backed by financial behemoth Power Financial.

"Wealthsimple was born out of the idea that everyone should have access to high-quality financial products and advice, no matter their age or income,” said Toby Triebel, CEO Europe, Wealthsimple. “Many people in the UK don't have access to investment services or are paying too much for them, and the initial response through our beta testing phase has been an incredible testament to the demand for an easy and transparent investment option.”

The firm uses content as a core part of their strategy, publishing a magazine as well as using other content channels.

At launch, clients are able to open ISAs (Individual Savings Account), JISAs (for children) and personal accounts with a 0.7 per cent management fee. There is no minimum to open an account with Wealthsimple and all clients are set up with sophisticated investment portfolios, tailored to clients' financial goals, and have the option to speak with an accredited investment adviser.

Wealthsimple's premium service, Wealthsimple Black, is available to UK residents who invest over £100,000 with the platform. The programme provides lower management fees (0.5 per cent), personalised investment advice and travel perks. New product offerings will continue to be announced as Wealthsimple establishes itself in the UK market.

The London-based team is led by fintech entrepreneur Toby Triebel, the former CEO and co-founder of the global online lending platform Spotcap. Triebel joined the Wealthsimple team in September 2016, leading the company through regulatory approval and initial beta testing, which saw over five thousand people sign up for early access to Wealthsimple through an online waitlist.

In May, Wealthsimple raised an additional C$50 million from Power Financial group of companies, a strategic partner, bringing Power's total investment to C$100 million. Headquarted in Canada, with offices in London, Toronto and New York, this marks Wealthsimple's second international expansion, having launched in the US in January 2017.

This article first appeared on www.roboadvicenews.com