Purveyors of hidden investment fees have reason to be concerned today.
FeeX just announced it raised $6.5 million in a second round of institutional funding, which will be used to continue expansion across the U.S. and to extend the company’s services beyond finding those pesky hidden investment fees on all kinds of accounts including IRA, 401(k), 403(b), 457, and brokerage accounts. The service evaluates a customers’ investments and presents a big picture view of all of their fees using its proprietary algorithms. From there, FeeX gives customers ideas as to how to reduce their fees.
With the new funding round, the company will be able to expand its service offerings to find hidden fees in banking, credit cards, mortgages, and other markets.
FeeX estimated that people pay as much as a third of their savings in hidden fees over their lifetimes, said Yoav Zurel, CEO of FeeX, in a press release.
FeeX was founded in August 2012 and launched in the U.S. in March 2014. It already has more than 60,000 users and protects $1 billion in assets. It also has identified $277 million in savings for its customers. The company previously received $3 million funding in August 2013 in a round led by Blumberg Capital. It’s currently based in New York.