Munich and London-based financial robo-advisor Scalable Capital has raised €30 million. The investment round was led by BlackRock along with existing investors HV Holtzbrinck Ventures and Tengelmann Ventures. As part of the deal, Patrick Olson, BlackRock’s Chief Operating Officer of EMEA, will join Scalable Capital’s board.
Scalable Capital has already managed €250 million in assets from more than 6,000 retail clients since its launch in 2014, with strong growth in the UK and Germany. The startup provides a flexible multi-language and currency platform that can operate across multiple international tax and regulatory borders.
“The retail distribution landscape is evolving at a rapid pace, as consumers increasingly engage with their financial investments through technology," commented Olson in a statement. "This trend is prompting strong demand from European financial institutions – including banks, insurers, wealth managers and advisory firms – for high-quality technology-enabled investment solutions. Our investment in Scalable Capital allows us to meet these evolving needs of our clients and their customers and to help shape their business models for the future.”
Scalable Capital expects the market for financial advisors and investment managers to grow with the changing regulatory landscape in Europe, as financial institutions seek to increase investor protection, value for money, and transparency.
Read more: Finextra