Total amount raised
$449.5 Millions
Latest funding date
4/1/2024
Location
Altruist has successfully raised significant funding to support its mission of empowering independent financial advisors with a modern custodian platform. The platform offers a comprehensive suite of services, including digital account opening, native billing, and portfolio management.
Keep reading to explore the intricacies of Altruist's fundraising journey and the investors backing this innovative platform.
What Is Altruist?
Altruist is a company dedicated to providing a modern custodial platform specifically designed for independent financial advisors. Founded by Jason Wenk, the company aims to simplify and enhance the operational efficiency of RIAs through a range of integrated financial tools and services.
Based in Los Angeles, Altruist offers services such as digital account opening, native billing, and portfolio management. The company has grown significantly since its inception, now employing a dedicated team of professionals committed to empowering financial advisors.
With a focus on innovation and client experience, Altruist continues to attract attention and investment, solidifying its position as a key player in the financial technology space.
How Much Funding Has Altruist Raised?
- Series A
- Amount Raised: $8.5M
- Date: September 2018
- Lead Investors: Venrock
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To launch and develop the initial platform for independent financial advisors.
- Venture Round
- Amount Raised: Not publicly disclosed
- Date: January 2021
- Lead Investors: Venrock
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support early-stage growth and platform enhancements.
- Series B
- Amount Raised: $50M
- Date: May 2021
- Lead Investors: Insight Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and expand service offerings.
- Series C
- Amount Raised: $110M
- Date: November 2021
- Lead Investors: Declaration Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the company's growth and development of its integrated advisory software and services.
- Series D
- Amount Raised: $112M
- Date: April 2023
- Lead Investors: Insight Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To further develop and expand Altruist's service offerings to empower a broader segment of the RIA market.
- Series E
- Amount Raised: $169M
- Date: April 2024
- Lead Investors: ICONIQ Growth
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance platform capabilities and expand market reach.
Total Amount Raised: $449.5M. Current Valuation: Not publicly disclosed.
Key Investors
- Insight Partners
- Details: Insight Partners is a global private equity and venture capital firm that invests in high-growth technology and software companies. They have a strong track record of supporting companies through various stages of growth.
- Investment Focus Areas: Software, internet, data services.
- Notable Investments: Twitter, Shopify, DocuSign.
- Adams Street Partners
- Details: Adams Street Partners is a private markets investment management firm that provides investment management services to institutional clients. They focus on private equity, venture capital, and private credit.
- Investment Focus Areas: Private equity, venture capital, private credit.
- Notable Investments: GoPro, Magic Leap, Redfin.
- Declaration Partners
- Details: Declaration Partners is an investment firm that partners with founders, family-owned businesses, and other long-term investors. They focus on growth equity and private equity investments.
- Investment Focus Areas: Growth equity, real estate, private equity.
- Notable Investments: Sweetgreen, The Wing.
- Venrock
- Details: Venrock is a venture capital firm that invests in technology and healthcare companies. They have a history of backing innovative companies from early stages to growth stages.
- Investment Focus Areas: Technology, healthcare, energy.
- Notable Investments: Apple, Intel, Illumina.
- Vanguard
- Details: Vanguard is an investment management company known for its mutual funds and ETFs. They are one of the largest asset management firms in the world.
- Investment Focus Areas: Mutual funds, ETFs, advisory services.
- Notable Investments: Broad investments across various mutual funds and ETFs.
What's Next for Altruist?
Altruist stands poised to capitalize on the booming RIA market, which boasts $128.4 trillion in assets under management and sees over 3,000 new firms launched annually. By targeting mid-sized firms managing between $100 million and $1 billion in assets, Altruist can significantly expand its market reach. The recent acquisition of SSG and the launch of a new brokerage offering further position the company to serve a broader segment of the market.
Future fundraising opportunities seem promising, given Altruist's rapid growth and the substantial market potential. The company may continue to attract investment to support its technological advancements and market expansion. However, challenges such as competition from established players like Schwab and Fidelity, and the need to continuously innovate, could pose hurdles. Ensuring scalability and maintaining high-quality customer service will be crucial as Altruist navigates its growth trajectory.
Use Clay to Get Funding Data
Sales professionals, take your strategy to the next level by leveraging Clay's platform to access comprehensive fundraising data on companies like Altruist and gather other critical business insights.
Sign up for free on Clay and start making data-driven decisions today.
