Wealthsimple has unveiled an equity round of up to $750 million at a post-money valuation of $10 billion to accelerate the company’s product roadmap.
“This raise reflects deep confidence from new and returning investors in our mission and our role as a defining Canadian company,” stated chief executive officer Michael Katchen.
The Toronto fintech’s round was co-led by Dragoneer Investment Group and GIC, according to a statement from the Ontario firm, and included participation from the Canada Pension Plan Investment Board, the Power Corporation of Canada, IGM Financial, ICONIQ, Greylock, and Meritech.
“We were intentional in choosing partners committed to the long-term future of Wealthsimple,” Katchen noted. “These are well-respected, global leaders with a proven track record scaling category leaders, and who believe in our vision for the future of financial services.”
Founded in 2014 and profitable since 2024, Wealthsimple today manages more than $100B in assets.
“Few companies have achieved what Wealthsimple has in the last few years,” suggests Christian Jensen, a Partner at Dragoneer. “Wealthsimple’s product velocity, customer obsession, and category leadership remind us of some of the most enduring global companies, and we’re thrilled to be partnering with them in this next phase of growth.”
Choo Yong Cheen, an Investment Officer with GIC, believes that Wealthsimple’s “track record of innovation, from investing to trading to spending, combined with deep trust from Canadians, positions them to build a defining, generational company in Canadian financial services.”
Wealthsimple earlier this month launched a new suite of products designed to give Canadians “every advantage possible to grow their wealth.”
During “Wealthsimple Presents: For Nerds Only” at Evergreen Brick Works in Toronto, the Ontario-headquartered financial technology firm unveiled a slew of new features, including becoming “the first and only brokerage in Canada to offer true zero-commission option contracts.”
In addition, Wealthsimple intends to drop direct indexing, a process that typically involves support from an advisor, which helps clients outperform the corresponding market index each year after taxes.
The fintech also promises real gold trading “with the lowest fees in Canada,” working with trusted custodians to store physical gold for clients as well as an option for home delivery.
To further its mission to expand access to gold trading, Wealthsimple now allows clients to trade real gold at a minimum of $1.
And on the crypto front, Wealthsimple recently added dozens of new cryptocurrencies, bringing its total lineup of tradable crypto assets to more than 100 coins.
Wealthsimple also intends next year to release an AI-powered research-and-trading dashboard to enhance the investing experience.
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