Millennial focused money managing firm Wealthsimple has raised another $750 million, bringing its total value to $5 billion.
The Toronto-based money manager markets itself to younger investors with low- and no-fee options. The company is controlled by financial services conglomerate Power Corporation, but the company announced it has received $750 million from various investors, enough to value the entire company at $5 billion. That’s almost four times what it was worth as recently as the fall of October 2020, when it raised $114 million for a total valuation of $1.5 billion.
The financing round is being led by an alphabet soup of investment funds, including names like Meritech, Greylock. DST Global, Sagard, Iconiq, Dragoneer, TCV, iNovia, Allianz X, Base 10, Redpoint, STEADFAST, Alkeon, TSV, and Plus Capital.
But a slew of Canadian celebrities are also buying a slice, including rapper Drake, actors Ryan Reynolds and Michael J. Fox and professional athletes Kelly Olynyk, Dwight Powell, and Patrick Marleau.
The company plans to use the money to expand its business.
“More than two million Canadians use Wealthsimple to grow their money, file their taxes, pay their friends, and make their financial lives better,” Wealthsimple CEO and co-founder Mike Katchen said in a release. “This investment will fuel our growth so we can reach millions more and ensure that everyone has access to the simplest, most powerful financial products and services, no matter who they are or where they are in their financial lives.”