M1 Finance has raised another $75 million in funding to support its finance super app, which combines investing, borrowing, and spending functionality into a single platform. The Series D round was led by Coatue, and featured participation from Left Lane Capital, Jump Capital, and Clocktower Technology Ventures.

The investment brings M1 Finance’s total capital to more than $173 million, $153 million of which was raised in just the last ten months.

In a blog post, company founder and CEO Brian Barnes said that the funding will help M1 Finance add talent and “invest in innovation that furthers our mission.” Barnes wrote that rather than merely “incentivizing trading”, the goal of M1 Finance is to offer a “holistic, smart platform that encourages and enables you to practice good financial habits.” He added that this meant innovating in all areas of the customer experience – from more tools to better interfaces to a more seamless integration “with your whole financial life.”

M1 Finance’s platform includes three components: M1 Invest enables users to build their own investment portfolio for free and manage the portfolio with automatic, one-click rebalancing. Fractional share investing is also available. M1 Borrow offers a flexible portfolio line of credit for accounts of $10,000 or more, and M1 Spend gives users a checking account to make it easier for them to repay their loans on time, as well as set up direct deposits and schedule automatic investments.

In his blog post, Barnes also shared some recent milestones for the Chicago, Illinois-based company. M1 Finance topped $3 billion in client assets last month, reported a 3x increase in new sign-ups in January 2021 compared to the previous month, and noted a 2.5x growth in new sign-ups between January 26 and February 8 compared to the previous two weeks.

“We’re building (an) experience for people with thousands and millions,” he wrote. “Whether you have $50 million or $50,000 we want you to have the right tools, the right education, and the right control over your future.”

A Finovate alum since its conference debut in 2016, M1 Finance has partnered with the likes of Rackspace Technology and, in December, launched a new “smart transfers” feature. The fully customizable solution enables those subscribed to M1 Finance’s M1 Plus program to set “threshold-based rules to cascade available funds between M1 accounts.”

Photo by cottonbro from Pexels

In a round led by Left Lane Capital and featuring participation from Jump Capital and Clocktower Technology – as well as other investors – M1 Finance has scored $45 million in funding. The Series C round takes the finance super app company’s total to more than $95 million, adding to the $33 million M1 Finance raised in June.

CEO and self-described “personal finance nerd” Brian Barnes highlighted ways the new investment would help power the company forward. In an extended blog post, Barnes listed investment in the client experience, more products and features, and more talent as initiatives customers can look forward to over the balance of the year and into 2021. “We’re not just stepping on the gas,” he wrote, “we’re now on a rocket ship.”

M1 Finance’s Finance Super App combines investing, borrowing, and spending functionality in one automated platform. Clients can use the platform to build their investment portfolios for free, take advantage of fractional share investing and schedule automatic, one-click rebalancing. A flexible portfolio line of credit is available to users once their portfolio value reaches $10,000; and the platform’s M1 Spend feature enables users to schedule and pay back loans, as well as set up direct deposits, automatic investments, and transfers.

Founded in 2015 and headquartered in Chicago, Illinois, M1 made its Finovate debut at our New York conference in 2016. In September, the company partnered with Rackspace Technology in order to bring expanded Amazon Web Services functionality to its platform. That same month, M1 reported that it had reached $2 billion in assets under management, and added more than 229,000 new accounts since February. More recently, the company launched Smart Transfers, a new feature for its Plus members that provides greater control and flexibility in setting automatic transfers and investments.

“We’re here to empower a new world of personal financial well-being through a simpler, smarter, stronger platform,” Barnes wrote this week. “With more funds and the opportunity to continue working with people we know and trust, we can expand what we do for you and your money.”

In a round led by New York-based growth equity firm Left Lane Capital, money management platform M1 Finance has raised $33 million in new capital. The Series B, which also featured the participation of Jump Capital, Clocktower Technology Ventures, as well as existing M1 investors, takes the company’s total funding to $53.2 million, according to Crunchbase.

The investment comes at the halfway mark of a year in which the company reached $1 billion in customer assets managed and added more than $650 million in customer deposits to its platform. The company noted that it achieved the $1 billion AUM milestone faster and with less funding than many of its competitors.

“We’ve built the premier personal finance platform that combines the best of digital investing, borrowing, and banking, and have done so on relatively little funding,” company CEO and founder Brian Barnes said. “That is a testament to the team and culture we have here. We’re just getting started and look forward to accelerating our growth with this new funding and strong new partners.”

The M1 personal finance platform consists of three main, integrated solutions to help users build wealth over the long-term, respond to intermediate-term financial challenges and needs, and manage near-term spending and saving. M1 Invest is the platform’s free investment solution that enables investors to build customized portfolios of stocks and exchange-traded funds (ETFs). The module features both fractional share functionality and advanced automation. M1 Borrow is the platform’s line-of-credit product, which offers rates between 2.0% and 3.5%. M1 Spend gives platform users an FDIC-insured digital checking account and debit card. This offering features a 1.00% APY and 1% cash-back on qualified purchases (with a subscription to the company’s M1 Plus upgrade).

“With M1, you can build an entire wealth strategy in only a few clicks, down to individual stocks and ETFs,” Barnes said. “We take it from there, handling all the day-to-day optimization, rebalancing, and re-investing according to your instructions so you can spend more time building strategies and less time executing them.”

Founded in 2015 and headquartered in Chicago, Illinois, M1 Finance demonstrated its platform at FinovateFall 2016.