Top 4 WealthTech companies transforming the European market

By Megha Bhattacharya

Digital business models have emerged within the wealth management industry, in the last decade. These companies leverage digital platforms and technology to help investors connect with their peers and the right advisors, in addition to providing tailored advice, and offer investment opportunities and strategies similar to those used by professional investors and institutions.

Here are the top 4 European WealthTech companies:

• InvestSuite

Belgian B2B WealthTech startup, InvestSuite, aims to help financial institutions accelerate their digital wealth transformation via its AI-based digital investment solutions. The startup was founded in 2018 in Leuven by an experienced team of bankers, computer scientists and product designers.

Recently, B2B WealthTech company, InvestSuite announced that it has raised €3 million in a funding round that saw the participation of PMV, AB Accelerator, 365.fintech and others. Headquartered in Belgium, InvestSuite offers cloud-native, modular WealthTech and InvestTech solutions to financial institutions all over the world. Avaloq also entered into a partnership with FinTech InvestSuite in a bid to bring automated investment storytelling to its open banking marketplace, Avaloq.one Ecosystem.

Based on the iVaR-based portfolio construction framework, InvestSuite offers an end-to-end, customizable robo advisor, which provides an automated digital investment product that financial institutions can offer to their clients.

• ObjectWay

Objectway is an Italian provider of wealth and investment management software platforms for the financial services industry. It provides omnichannel and omni-device solutions for the wealth and investment management business.

Founded in 1990 and based in Italy, digital wealth, investment and asset management services provider, Objectway announced last year that Belgian commercial institution, vdk bank will implement the supplier’s WealthTech Suite including Portfolio Manager and Investor Portal. The implementation is expected to provide the bank with portfolio management, branch-based advisory and execution-only capabilities as well as enable web apps for end clients for self-directed investment management.

Recently, Objectway announced that it has implemented its client management system at UK wealth manager Brewin Dolphin. Objectway’s Client Lifecycle Management and Onboarding solution aims to provide an enhanced client experience and client relationships through integrated digital capabilities. The solution is designed to manage the entire client life cycle, from prospecting through onboarding to ongoing service delivery like suitability reviews and other periodic and ad-hoc events.

• Scalable Capital

Founded in 2014, Scalable Capital is a Germany-based digital wealth manager. The company recently raised an additional €50 million in a Series D financing round, taking the total amount raised to €116 million.

Scalable Capital aims to simplify wealth management and make investments cheaper through technology. The company allows customers to invest their money through the robo advisor and trade actively with the broker. It offers a trading flat rate, where retail investors can trade shares, funds, and ETFs or make savings plans on ETFs for €2.99 per month with no additional fees. It also provides access to overnight and fixed-term deposit offers.

The company raised €150 million in a Series E funding round led by Chinese technology company Tencent. The funding will be used to accelerate Scalable Capital’s European growth and to continue building an integrated digital wealth management and brokerage experience.

• additiv

Founded in 1998 and headquartered in Zurich, additiv enables financial institutions to capitalise on digitalisation. Its DFS solution lets FIs launch new propositions quickly and allows them to maximise customer engagement.

This year, financial analytics APIs provider Kidbrooke announced that they will make their range of holistic financial planning and analytics solutions available to additiv customers on both their Software-as-a-Service and Embedded Finance models. The collaboration with additiv will enable their customers’ clients to utilise a user-friendly and scalable financial simulation engine, to meet the growing demand for financial decision-support.

additiv, also announced a partnership with data science tech platform Clarity AI in a bid to provide wealth managers sustainability insights to build smarter portfolios, provide client support and comply easily with regulation.

READ MORE: Wealth Management and Private Banking Systems Report 2020 by IBS Intelligence