Stockspot has announced it closed a $3 million capital raise, which is expected to help strengthen the robo-adviser’s position in Australia.
In a statement yesterday, Stockspot said the latest capital raise was led by both ETF Securities founder Graham Tuckwell and Alium Capital.
Algorithmic trading entrepreneur Danny Bhandari also participated in the round, the statement said, as well as existing Stockspot shareholders.
Stockspot has now raised $5 million since the business was founded in 2013.
According to the announcement, the funds will be used to continue building Stockspot’s digital offering and attract new clients.
“The capital raise will allow us to further develop our digital advice offering and attract a broader range of Australian investors,” said Stockspot chief executive Chris Brycki.
“The calibre of Stockspot’s investors and the belief they have in our company demonstrates that digital wealth management will fundamentally change financial services in Australia.
“Graham is a global ETF pioneer, having invented exchange traded commodities and built a business managing over US$22 billion in assets. There is so much we can learn from him as we continue growing Stockspot.”
Mr Tuckwell said Stockspot has created a transparent, low-fee and a first class investment experience for clients.
“Technology has delivered better and cheaper asset management for all investors, through the creation of ETFs. Robo-platforms such as Stockpot will continue the process of using financial technology to deliver more accessible and more cost-effective investment solutions compared to those offered to date by traditional fund managers. “I’m backing Stockspot so they can expand their business more quickly and thereby help more Australians become smarter investors.”
The prudential regulator has released its latest corporate plan.
The bid was originally put forward in June.
ASIC has issued a permanent ban to the former financial adviser.
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