Software-based financial services provider Wealthfront has secured $75m funding to expand its Path automated financial planning service.
The financing round, which was led by Tiger Global Management, included participation from existing venture capital investors such as Benchmark Capital, DAG Ventures, Greylock Partners, Index Ventures, Ribbit Capital, Social Capital and Spark Capital Growth.
Through using software, Wealthfront offers financial planning, investment management and banking-related services.
Wealthfront will use the funding to expand its financial services through using Path service as base for all client interaction.
Path is an automated financial planning service, which consolidates clients' financial accounts into one view.
Wealthfront's combination of mobile-based financial planning, investment management and banking-related services allow to effectively schedule a meeting with a financial advisor.
It will help clients to plan all their other daily tasks conveniently through using phones.
Wealthfront launched multiple PassivePlus investment features and portfolio line of credit banking service, in addition to expanding financial planning services in 2017.
Wealthfront co-founder and CEO Andy Rachleff said: "Path's appeal to young people propelled our growth such that people under 45 now represent 85% of our clients.
“We believe our success with this group is based on our unique ability to optimize and automate our clients' personal finances. This year we'll be launching many new software-based capabilities that will provide value to our clients throughout their lifetime."
Tiger Global Management partner Lee Fixel said: "Wealthfront's exclusively software-based model gives the company a superior approach to capture the younger, fast-growing market of investors.”
Image: Wealthfront will use the funding to expand Path automated financial planning service. Photo: courtesy of suphakit73 / FreeDigitalPhotos.net.