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Wealthfront app.
Supply: Wealthfront
Wealthfront, the startup that helped popularize the robo-advisor model of automated investing, filed for a U.S. preliminary public providing Monday, making it the newest in a wave of fintech companies going public this 12 months together with Chime and Klarna.
The corporate in June filed confidentially for an IPO, however waited till now to make that submitting public. That indicators that Wealthfront is planning on kicking off its roadshow to pitch shares to traders; an IPO usually follows weeks after the S-1 submitting is made public. The corporate intends to listing on Nasdaq underneath the ticker image “WLTH.”
Wealthfront, led by CEO David Fortunato, had $88.2 billion in property on its platform and served 1.3 million clients as of July 31, in line with the submitting. It generated $194.4 million in internet earnings on $308.9 million in income throughout in fiscal 2025 which ended on Jan. 31, per the submitting.
“Our shoppers are primarily digital-native excessive earners who prioritize financial savings and wealth accumulation,” the corporate mentioned. “Digital natives usually have giant liquid financial savings with very long time horizons forward, and they’re undeterred by corrections and bear markets.”
The corporate, based in 2008, has had a protracted and winding journey to the general public markets.
Together with rival Betterment, Wealthfront helped outline the robo-advisor class, which makes use of algorithms to automate funding choices for purchasers.
Inside years, massive banks together with Morgan Stanley and Financial institution of America unveiled their very own robo choices to enhance their giant armies of human monetary advisors.
In 2022, the Zurich-based world financial institution UBS mentioned it was shopping for Wealthfront for $1.4 billion in money, however the deal collapsed because the market turned all of a sudden skeptical on fintech companies amid rising rates of interest.
It is taken years for the marketplace for fintechs to get better, resulting in a rebound in listings this 12 months.
Based in 2007 and primarily based in Palo Alto, California, Wealthfront employed 359 individuals as of July 31, in line with the submitting.
— CNBC’s Jordan Novet contributed to this report.
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