Wealthsimple, a Canadian fintech company, has successfully secured C$750 million in funding, achieving a post-money valuation of C$10 billion. This financing round was spearheaded by Dragoneer Investment Group and GIC, with significant participation from notable investors including the Canada Pension Plan Investment Board, Power Corporation of Canada, IGM Financial, Iconiq, Greylock, and Meritech.
Founded in 2014 and based in Toronto, Wealthsimple initially launched as an online investment manager and trading application. Over the years, the company has expanded its offerings, actively competing with Canada’s major banks.
In addition to managed and self-directed investing services, and commission-free trading—including cryptocurrency transactions—Wealthsimple has ventured into everyday banking. It now offers features like bank draft delivery, automatic paycheque allocation, and a no-fee chequing account, eliminating monthly charges, foreign exchange fees, and ATM withdrawal costs.
This year, Wealthsimple introduced a waitlist for its inaugural credit card, surpassing 300,000 registrants within the first six months. Following its profitability milestone last year, the platform now boasts three million customers and manages C$100 billion in assets.
The newly acquired funding will propel Wealthsimple’s initiatives in investing, spending, and credit, as well as support strategic expansion efforts. Notably, in August, the company acquired the investment research platform Fey.
Christian Jensen, a partner at Dragoneer Investment Group, remarked, “Wealthsimple has developed a comprehensive financial platform that millions of Canadians rely on. They are not merely participating in the financial services landscape; they are revolutionizing it.”