London-based investment management service Nutmeg has raised $5.3 million. Still in private beta, Nutmeg promises to help you reach your financial goals with personalized investments and long-term savings advice.
Nutmeg asks you a series of questions to figure out where you are financially and what you hope to achieve, such as buying a home, starting a business, or sending your kid to college. You determine how much money to set aside and Nutmeg promises to invest your money in the appropriate places.
Venture capitalists Pentech and Daniel Aegerter led the round, with participation from Tim Draper and Klaus Hommels. The full press release follows:
Nutmeg Secures £3.4 Million Funding in Advance of Public Launch
Led by Daniel Aegerter and Pentech, in conjunction with legendary investors Tim Draper and Klaus Hommels, Nutmeg announces the imminent public launch of an online investment management service
LONDON – 18th June 2012. Nutmeg, a new online investment manager, today announced that it has raised £3.4m ($5.3m) in venture capital funding in advance of its public launch later this summer. The funding was led by UK-based venture capitalists Pentech and Daniel Aegerter, the Swiss chairman of Armada Investment Group. Other investors include Tim Draper, an early investor in Skype and Hotmail, and Klaus Hommels, a board member of Spotify and formerly the “most successful European entrepreneurial private investor of the year”.
“I believe Nutmeg will do nothing less than re-define the entire world of investment management,” said Craig Anderson, a partner at Pentech. “Pentech is delighted to be investing in this round, and I look forward to working with the team as they build the business into the market-leading online investment manager.”
“I look at many investment opportunities and I rarely see one as exciting as Nutmeg, where so many stars align: a convergence of market need with technology innovation led by an energetic founder with a clear and executable vision,” said Daniel Aegerter.
“I started Nutmeg because there is a huge need for trustworthy and straightforward savings and investment management,” said CEO Nick Hungerford, who worked in the City of London before completing an MBA at Stanford University. “This need exists not just for the wealthy, but for everyone. I was frustrated by the lack of transparency in the financial world, and its inability to interact through the internet. We’ve been talking to people to discover what they really want, and working on building a user-friendly product for over a year. With these investors behind us we are now in an excellent position to roll out a great service.”
Nutmeg is currently accepting founding members who will be able to begin investing when the service opens to the public later this summer.