Robo-adviser Moneyfarm has released its results showing it has more than 10,000 customers in the UK and £260m in assets under management (AUM) internationally.
First launched in Italy, MoneyFarm claims these figures make it the second largest robo adviser in Europe, just 18 months after launching in the UK and becoming the first robo-adviser to operate in multiple markets.
Despite this the company reported total losses of £6.4m in 2016 but it has said this was in line with its targets and it expects to be profitable by 2019.
Paolo Galvani, co-founder and chairman of Moneyfarm, said: “Customer growth is due to outstrip the 209 per cent we anticipated at the start of 2017, and we’re confident we’ll continue to add more than 60 per cent a year for the next three years.
“We’re just at the beginning of what we can achieve with our current product mix.
“The pension we launch in Q4 this year will be a real game changer, not just for us but also for consumers.”
In the first half of 2017, Moneyfarm doubled its customer numbers and is adding 10 per cent to its AUM each month on average.
Moneyfarm has raised nearly $30m (£22.7m) in funding and has recently entered into its first business-to-business partnership with Allianz Global Investors.
As part of its partnership with Allianz, Moneyfarm will provide low-cost active management products which will initially only be available to UK employees of Allianz companies.
It also has several product launches in the pipeline, including its pension product.
In Italy the company assists customers with financial planning and portfolio reviews, and as part of the FCA’s advice unit, Moneyfarm is developing this offering for the UK market.
Mr Galvani said: “With a keener focus on financial planning and a wider product mix, Moneyfarm will be one step closer to meeting the comprehensive wealth needs of its customers across Europe.
“Open banking will also bring huge opportunities for future business growth, as APIs will enable us to deliver increased advice capabilities via our platform.”
damian.fantato@ft.com
