Moneyfarm gets £40m funding to grow robo-advice

Moneyfarm gets £40m funding to grow robo-advice

Robo-adviser Moneyfarm has raised £40m from a funding round which it will use to improve its digital advice service.

The round was led by Allianz Asset Management, the investment arm of global insurer Allianz, which first invested in Moneyfarm in September 2016.

Venture capital firm Endeavor Catalyst and Italian finance firm Fondazione di Sardegna joined as new investors, with more funding from existing backers United Ventures and Cabot Square Capital.

Giovanni Daprà, chief executive and co-founder of Moneyfarm, said the money would be used to make its service more personalised through the increased use of "goal-based investing", bringing in and using more information about investors.

He said: "Today marks an exciting milestone for Moneyfarm as we look to expand our customer base through a focus on greater personalisation of the investment advice we give to help support and guide customers along their wealth journey."

Mr Daprà said the robo-adviser now has around 27,000 clients.

Moneyfarm's assets under management have grown by more than 50 per cent to £400m over the past nine months.

Thorsten Heymann, global head of strategy at Allianz Global Investors, said: "We can make our expertise in active investment management and risk-optimisation available to new client segments by combining it with Moneyfarm’s digital wealth management know how.

"Allianz’s investment in Moneyfarm increases our exposure to the rapidly growing market for digitally-enabled direct investment solutions."