Digital wealth manager Scalable Capital raises €50 million

Scalable Capital aims to

Germany-based wealth manager Scalable Capital, hot on the heels of its B2B partnership with Barclays, has raised €50 million in series D funding.

The funding, from new and existing investors including BlackRock, HV Holtzbrinck Ventures, and Tengelmann Ventures, takes Scalable Capital’s total raised to €116 million since 2014 and values the wealthtech at €400 million.

Scalable Capital aims to “to give a broad group of investors access to a form of investment that was previously reserved for the very wealthy”.

For €2.99 per month, Scalable Capital’s platform allows retail investors to monitor and manage their investments in a range of asset classes through exchange-traded funds (ETFs). It claims to be the largest digital asset manager in Europe with more than £1.7 billion in assets under management.

The fresh injection of funding follows the news that Barclays has partnered with Scalable Capital to launch a new digital advice service for investment advice.

Barclays Plan & Invest will create a personalised investment plan that’s tailored to a customer’s goals, with Barclays then managing the investments on their behalf.

The new service will use Scalable Capital’s robo adviser, which adapts an investment plan to any changes in the market or the customer’s circumstances and checks in with them at least once a year.

The new service will initially be piloted with Barclays current account customers who have at least £5,000 to invest and will be accessed through online banking, with dedicated support over the phone. The bank will continue to develop the service over the coming months, with plans to launch on the Barclays app later this summer.

Dirk Klee, chief executive officer of wealth management and investments at Barclays, said that a rise in the number of people wanting to invest for the first time prompted the decision to launch the new service.

Klee continued: “We launched Plan & Invest after listening to our customers, who said they wanted an investment service that gave them the convenience and affordability of robo-advice, but with more of the personalisation of wealth management.”

“I firmly believe that everyone should have access to affordable advice and Plan & Invest is just the first step in our plans to open up the tools we use with our wealth clients to more people.”

Image: Scalable Capital

Mark Dugdale