Finovate Alumni News– December 10, 2013

  • Thumbnail image for Finovate-F-Logo.jpgCapital Access Network changes its name to CAN Capital.
  • Compass Plus survey reflects declining support for NFC amid growing popularity of mobile channel.
  • CFA Institute’s Inside Investing takes a look at Motif Investing and “the secret revolution in finance.”
  • Gartner places NICE in leaders quadrant of the 2013 Magic Quadrant for Contact Center Workforce Optimization.
  • Wealthfront announces new ability to harvest losses on stocks that comprise an index.
  • Flint Mobile raises $2 million from Verizon Investments.
  • Mint, Manilla, SigFig, Jemstep and Planwise featured in Kiplinger’s list of smart online tools to manage finances.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News– December 6, 2013

  • Thumbnail image for Finovate-F-Logo.jpgMoney Under 30 reviews the Moven app.
  • Bloomberg BusinessWeek takes a look at Comarch’s report on banking in London’s “Tech City”.
  • Taavet Hinrikus, co-founder of TransferWise, weighs in on the state of the UK’s financial technology industry.
  • ThreatMetrix protected 1 in 4 U.S. e-commerce transactions on Black Friday and Cyber Monday.
  • Cartera Commerce launches American Airlines’ Mobile AAdvantage shopping site.
  • The Guardian profiles “robo-advisors” Betterment, LearnVest, FutureAdvisor, Wealthfront, and Jemstep.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni Driving Growth in Online Investment Advisory Industry

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If an investment portfolio gets optimized through an online investment advisor, do brick and mortar brokers make a sound?

As noted in today’s Wall Street Journal, many of the kinds of services that once were accessible only by high net worth investors patronizing financial advisors and planners in person are now available to the rest of us. This includes everything from using computer algorithms to make investment decisions to automatic portfolio rebalancing and asset allocation.

And of the seven companies highlighted in the column for helping make this possible, every single one is a Finovate alum.
In fact, two of the seven – FutureAdvisor and LearnVest – will be demoing their latest technology on the Finovate stage in New York next week for FinovateFall 2013.
The reasons for the growth in online investment advisory are as varied as the companies themselves. Some cite a new generation of investors far more comfortable with both handling their own finances and trusting the Internet to help. Others suggest that with Wall Street falling into disfavor in the wake of the financial crisis, more investors are willing to seek out non-traditional – and less expensive – sources of information and advice.
Bill Doyle, an analyst for Forrester Research who has studied the industry for more than a decade and is quoted in the column, puts it this way: “I’m paying a lot more attention this time around because the software required to transform this industry finally works.”
Whatever the reason, there’s no doubt that venture capitalists believe this time is different. Consider the funding success of the above seven companies in the past two years ago:
Note also that Wealthfront, which helps get investors into low-cost diversified portfolios, has assets under management (AUM) of $300 million. Betterment has a similar model and has AUM of $250 million.

Finovate Alumni News– September 5, 2013

  • Finovate-F-Logo.jpgThe Austin business Journal ranks Q2ebanking #29 of Austin-based Largest Private Companies.
  • City National partners with cloud accounting platform Xero.
  • Forrester Research names Ping Identity a leader in Identity and Access Management Suites, Q3 2013 report.
  • Allre and miiCard partner for First Complete Platform to Sell a Home Purely Online.
  • Wipit-powered Boost Mobile Wallet to provide Quick Check Service.
  • WSJ column takes a look at online investment advisors like Wealthfront, Personal Capital, Jemstep, and FutureAdvisor that use algorithms. Meet FutureAdvisor at FinovateFall in New York.
  • Float Money partners with credit reporting agency eCredable to offer consumers interest-free loans. See Float Money at FinovateFall in New York next week.
  • Finovate alums Betterment and LearnVest highlighted in Wall Street Journal column on innovations in the online investment advisory business. Watch LearnVest demo their technology next week at FinovateFall.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News– August 6, 2013

  • Finovate-F-Logo.jpgERN raises another $1 million, acquires two UK companies.
  • Expensify announces additional approval modes.
  • TMC selects Interactions’ Virtual Assistant applications for a 2013 Speech Technology Excellence Award.
  • The Financial Brand looks at NeoBanks: Moven, Simple, GoBank.
  • Reuters article features Wealthfront as a platform of choice for how millenials manage money.
  • MasterCard partners with United Bank for Africa to provide Nigeria’s first personalized debit card.
  • BrightFunds announces that it is now an official contributor to Triple Pundit.
  • The Economist talks with TransferWise co-founder Taavet Hinrikus about technological innovation in Estonia.
  • Kabbage and On Deck Capital both featured in Fit Small Business column on raising money for an existing business.
  • Allied Payment Network partners with Access Softek to provide Picture Pay mobile bill pay technology.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News– June 10, 2013

  • FinovateLOGO.jpgThe Oakland Tribune’s Inside Bay Area profiles OneID founder and CTO Steve Kirsch.
  • EZBOB adds variable lengths, longer periods, lower interest, and loyalty discounts on its loans.
  • Realty Mogul co-founder and CEO Jilliene Helman talks crowdfunding and real estate investing.
  • MicroStrategy business intelligence solution, MicroStrategy Express named a finalist at 2013 American Business Awards.
  • Newfination interviews Jilliene Helman, co-founder and CEO of Realty Mogul.
  • SF Gate blog looks at Personal Capital, Wealthfront, and FutureAdvisor.
  • Newfination interviews Kristoffer Lawson, Holvi CEO, on replacing your bank with Holvi.
  • Mortgagebot launches MortgageMarvel site to help consumers shop for mortgages.
  • CNET interviews Lending Club CEO Renaud Laplanche on recent funding and future growth.
  • Bloomberg BusinessWeek takes a look at the business of Google Wallet.
  • Money Under 30 reviews TradeKing.
  • Intellaegis’s masterQueue technology helps catch wanted fugitive.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

First Quarter 2013 Funding for Finovate Alumni– More Than $150 Million Raised

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This quarter, both January and Feburary funding exceeded $50 million. Most of February’s funding can be attributed to On Deck Capital’s $42 million round.

Over three months, 15 companies raised more than $155 million, This is very similar to last year’s first quarter funding* when we saw a total of 11 companies raise more than $150 million.

Here’s the Q1 summary for 2013:

January — $57 million raised by 6 companies
February — $56 million raised by 5 companies

March — $42 million raised by 4 companies

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*While the funding over last year has increased, so has the number of Finovate alums. We’re tracking more than 100 additional companies this year compared to last year.

Note: Funding that companies received before they demonstrated at Finovate was not counted. Questions? Comments? Email us at julie@finovate.com or david@finovate.com.

Wealthfront Secures $20 Million Funding Round

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Index Ventures, Greylock Partners and the Social+Capital Partnership have just made financial advisory service Wealthfront $20 million wealthier.

Joined by angel investors from institutions as diverse as WordPress and the San Francisco 49ers professional football team, the funding round provides a significant shot in the arm to a start-up still seeking to distinguish itself in a crowded and growing marketplace.

Wealthfront is an online, SEC-registered financial advisory service geared toward average, non-accredited investors who want actively managed accounts. The service includes such features as tax-loss harvesting (for accounts above $100,000) and automatic rebalancing. Note that both of these features are often accessible only through in-person, human brokers and financial advisors.

The company has seen growth in assets under management of more than 70% since 2013, totaling more than $170 million. 

Wealthfront first appeared on the Finovate stage as part of FinovateStartup 2009. Then doing business as “kaChing”, the company presented their virtual investing environment. To see their demo, click here.