Scalable Capital Raises €155 Million, Aims to Be Europe's Charles Schwab
Fintech Scalable Capital raises 155 million euros from investors - Fintech Scalable Capital Secures 155 Million Euros from Investors
Get ready to shake up the European investment scene, folks! Munich-based fintech Scalable Capital has just landed a whopping €155 million in their latest funding round. Big-time investors like Sofina and Noteus Partners are jumping on board, alongside existing partners Balderton Capital, Tencent, and HV Capital.
So what's the plan with all this money? Co-founder Erik Podzuweit spills the beans to Financial Times. First off, the funds will be used to beef up Scalable's digital investment platform and cook up some new products. They've also got their eyes on growth markets like France and Italy, aiming to become a true pan-European investment powerhouse, much like the legendary US broker, Charles Schwab.
Since 2015, Scalable's been dishing out financial goods like stocks, funds, cryptocurrencies, and private equity to private investors. Now they've set their sights on managing a mind-blowing €100 billion within the next two to three years - a lofty goal, but one they're determined to reach. And who knows? With profits expected as early as next year, Scalable might just pass Berlin-based competitor Trade Republic.
Let's take a closer look at how Scalable plans to stretch those extra euros:
- Tech Upgrade: Scalable will kick things off by beefing up its digital investment platform and enhancing its technological backbone.
- AI-Driven Portfolio Management: The company will also hone its AI-driven portfolio management tools to create more personalized experiences for both retail and B2B clients.
- Partnerships: Scalable will expand API integrations, leveraging successful partnerships with institutions like Barclays to offer a growing white-label solution.
- Education: To help first-time investors and young adults navigate the tricky world of finance, Scalable will launch educational initiatives such as free interactive webinars and financial literacy tools.
When it comes to France and Italy, the specific expansion plans aren't yet crystal clear. But with Scalable's ambitions to go pan-European, it's obvious they're setting their sights on the stars, aiming to democratize access to capital markets across the continent just like Schwab did in the US. They're making a play for the millions of retail investors seeking low-cost, diversified investment options and financial know-how.
In short, keep an eye on Scalable Capital - with this hefty cash injection and their eyes on the European investment scene, they're gunning to be Europe's very own Charles Schwab! Oh, and by the way, if you're curious, Scalable's total investments now come in at over €470 million. Impressive, huh?
- Scalable Capital's €155 million funding will be utilized to develop their digital investment platform, create new products, and enhance AI-driven portfolio management tools, aiming to personalize experiences for both retail and B2B clients.
- As part of their growth strategy, Scalable Capital aims to become a pan-European investment powerhouse, similar to Charles Schwab, and plans to expand to markets like France and Italy, offering low-cost, diversified investment options and financial education to retail investors across the continent.
