Acquisition called “a huge vote of confidence”

Acquisition called “a huge vote of confidence”

UK based insurer Aviva confirms that it’s acquired a majority stake in robo advisor Wealthify, reports David Penn at Finovate (Banking Technology‘s sister company).

Writing at the Wealthify blog, company CEO and founder Richard Theo called the acquisition “a huge vote of confidence” in both Wealthify’s vision to make investing more democratic, as well as, “the way we have delivered that vision”. Theo said the move affirmed the company’s place as a significant disruptor in the wealth management space, and takes Aviva closer to being a “one-stop-shop for all their customers’ insurance, pension, and investment needs.”

Theo added that the investment will enable the company to pursue its “ambitious customer acquisition targets” as well as support new products, particularly JISA and SIPPs. While terms were not disclosed, the company was valued at £9.7 million in the wake of a recent £1 million crowdfunding campaign. Wealthify also plans to add talent to its team, and will take on a trio of non-executive directors from Aviva. The company will remain headquartered in Cardiff, Theo noted, referencing both Wealthify’s Welsh roots and the promise of the growing financial services community in and around Cardiff.

Managing director of Aviva UK Digital Blair Turnbull praised Wealthify’s platform, which will be integrated into Aviva’s digital hub, MyAviva. Turnbull called the technology “remarkably easy to use” and underscored its appeal to both traditional cash savers and millennial investors. Aviva is the biggest general insurance provider in the UK, and a leading life and pensions provider. The firm serves 33 million customers in 16 markets around the world.