Wealthsimple: A Toronto-based Fintech Company Backed by Meritech, Greylock, and Etherington
Wealthsimple is a Toronto-based fintech company that offers a range of financial services, including robo-advisory services, investment management, and online trading. Founded in 2014, the company has quickly become one of the most successful fintech startups in Canada, with over 1 million clients and more than $10 billion in assets under management. In this article, we will take a closer look at Wealthsimple, its history, and its backers, including Meritech, Greylock, and Etherington torontobased wealthsimple meritech greylocketheringtontechcrunch.
History of Wealthsimple
Wealthsimple was founded in 2014 by Michael Katchen, who was previously a co-founder of 1000Memories, a digital photo-sharing platform. Katchen founded Wealthsimple with the goal of making investing more accessible to the average person, and the company quickly gained popularity in Canada for its user-friendly platform and low fees.
In 2015, Wealthsimple raised $2 million in seed funding from several investors, including Power Financial Corporation, a Canadian financial services company. The following year, the company raised an additional $20 million in Series A funding, led by Power Financial Corporation, with participation from several other investors, including Greylock Partners and torontobased wealthsimple meritech greylocketheringtontechcrunch venture capital firm, Round 13 Capital.
In 2017, Wealthsimple raised $50 million in Series B funding, led by San Francisco-based venture capital firm, Greylock Partners, with participation from several other investors, including Power Financial Corporation and Silicon Valley-based venture capital firm, Menlo Ventures. The funding round brought Wealthsimple’s total funding to $77 million.
In 2018, Wealthsimple expanded its services to the United States, where it quickly gained popularity for its low fees and user-friendly platform. The company also launched a premium service, Wealthsimple Black, which offers additional features, such as tax-loss harvesting and access to financial advisors.
Wealthsimple’s Backers: Meritech, Greylock, and Etherington
Wealthsimple’s success can be attributed in part to its strong backing from several high-profile investors, including Meritech, Greylock, and Etherington.
In 2019, Wealthsimple raised $100 million in Series C funding, led by San Francisco-based venture capital firm, Meritech. The funding round brought Wealthsimple’s total funding to $165 million and valued the company at $1.4 billion.
Meritech, which was founded in 1999, is known for its investments in several successful startups, including Facebook, Salesforce, and Snapchat. The firm focuses on late-stage venture capital investments and has raised over $4 billion to date.
San Francisco-based venture capital firm, Greylock Partners, has been a key investor in Wealthsimple since the company’s Series A funding round in 2016. Greylock led Wealthsimple’s Series B funding round in 2017 and participated in the company’s Series C funding round in 2019.
Greylock, which was founded in 1965, is one of the oldest venture capital firms in Silicon Valley. The firm has invested in several successful startups, including Airbnb, Dropbox, and LinkedIn.
In 2021, Wealthsimple raised $750 million in a funding round led by Etherington, a London-based venture capital firm. The funding round brought Wealthsimple’s total valuation to $5 billion and made it one of the most valuable fintech startups in the world torontobased wealthsimple meritech greylocketheringtontechcrunch.
Etherington, which was founded in 2019, focuses on early-stage investments in fintech and insurtech startups. The firm’s other investments include London-based fintech company, Revolut, and New York-based insurtech company, Lemonade.