Wealth management technology firm SigFig has attracted investments from big global banks in its latest round of funding worth $40m.
The banks which participated in the funding round include UBS, venture fund of Spain’s Banco Santander and Comerica Bank.
The other investors include Eaton Vance, New York Life, as well as top-tier venture capital firms Bain Capital Ventures, DCM Ventures, Nyca Partners, and Union Square Ventures.
The latest financing round is expected to strengthen SigFig’s position as a provider of digital technology to financial institutions across the wealth management, banking, and insurance industries.
The company will utilise the funds to speed up the expansion of its team and technology platform.
The funding will be used to support enterprise strategy of developing investment technology for a wide range of financial institutions based on those firms’ distinct corporate strategies and individual client needs.
SigFig CEO Mike Sha said: "Today’s announcement signals a major vote of confidence by some of the world’s most respected financial institutions in the quality of SigFig’s enterprise wealth management technology solutions.
"Our business-to-business strategy of partnering with some of the largest financial services companies in the world will help us rapidly scale and achieve our mission of giving all investors, large and small, access to high quality unbiased financial advice."
SigFig has recently partnered with banks and wealth management platforms, including UBS Wealth Management Americas and Pershing Advisor Solutions, to develop wealth management technology solutions.
Earlier this month, UBS Wealth Management Americas (WMA) has formed a strategic alliance with SigFig to develop financial technology for UBS WMA, its financial advisors and their clients.
As part of this strategic alliance, SigFig will create and customize digital tools and services for UBS WMA’s 7,000 advisors that will complement their expertise and enhance their clients’ digital experience.
Last month, it announced a partnership with Cambridge Savings Bank to provide an integrated, automated investment services to the bank’s accountholders.
The $40m funding includes $33m in equity financing led by Eaton Vance and including new institutional investors New York Life,Santander InnoVentures, and UBS, as well as existing venture capital investors. The remaining $7m funding is provided by Comerica Bank as credit facility.
Image: Big banks participate in $40m funding round for SigFig. Photo courtesy of podpad/FreeDigitalPhotos.net.