Wealthfront

From Wikipedia, the free encyclopedia
Jump to navigation Jump to search
Wealthfront Inc.
Industry Personal Finance, Stock Exchanges, Finance
Founded Redwood City, California
Founder Andy Rachleff (CEO, Chairman)
Dan Carroll
Key people
Burton Malkiel (CIO)
AUM $10 billion (March 2018)[1]
Number of employees
138[1]
Website www.wealthfront.com Edit this on Wikidata

Wealthfront Inc. is an automated investment service firm based in Redwood City, California,[2][3][4][5] founded by Andy Rachleff and Dan Carroll in 2008.[6][7] As of March 2018, Wealthfront had more than $10 billion of assets under management.[1] Wealthfront is considered a "robo-advisor" investment service.

History[edit]

Wealthfront was founded by Benchmark co-founder Andy Rachleff and Dan Carroll in 2008 as kaChing, a mutual fund analysis company, before pivoting into wealth management.[8][6][4][9] Rachleff was the firm's founding CEO.[9] In December 2012, the firm started tax-loss harvesting for accounts of more than $100,000.[10][11]

The company started 2013 with $97 million in assets under management and grew by 450% in one year.[7] In 2013, Wealthfront introduced "direct indexing", a tax-loss harvesting platform that purchases the individual securities of an investment portfolio.[12] In January 2014, Adam Nash became Wealthfront's CEO.[3]

In 2016, Wealthfront launched a partnership with the state of Nevada to launch a 529 tax-advantaged college savings plan. In the previous year, Nevada passed approval on a new tax credit for employers who provide fund matching to employees participating in 529 savings programs.[13] Andy Rachleff is currently the executive chairman and chief executive officer. In January 2018, Wealthfront launched homeownership planning tool for Path.[14][15]

Finances[edit]

The company has received funding from Benchmark Capital, DAG Ventures, Index Ventures, The Social+Capital Partnership and individuals, including Marc Andreessen, Ben Horowitz and Jeff Jordan.[9] In April 2014, Wealthfront raised $35 million in a funding round led by Index Ventures, Ribbit Capital and Benchmark Capital.[16] The funding round brought the firm's total funding to $65.5 million.[17]

See also[edit]

References[edit]

  1. ^ a b c "Wealthfront Form ADV Part 1" (PDF). Wealthfront. 1 March 2018. Retrieved 26 April 2018.
  2. ^ Leena Rao (2014-01-13). "Automated Investment Services Company Wealthfront Now Manages Over $538M In Assets, Up 450 Percent Over The Past Year". Retrieved 2014-08-22.
  3. ^ a b Brooke Southall (2014-01-30). "Andy Rachleff is out as CEO of Wealthfront as former LinkedIn star takes his place". Retrieved 2014-08-22.
  4. ^ a b Saitto, Serena (25 March 2014). "Wealthfront Said to Be Raising $30 Million Led by Index". Bloomberg News. Bloomberg L.P. Retrieved 22 August 2014.
  5. ^ "The 2014 CNBC Disruptor 50 List". Retrieved 2014-08-22.
  6. ^ a b Eric Savitz (2012-03-01). "WealthFront: Asset Manager Targets Valley's Nouveau Riche". Retrieved 2014-08-22.
  7. ^ a b Leena Rao (2014-04-02). "Automated Investment Service Wealthfront Raises $35M From Index, Ribbit Capital". Retrieved 2014-08-22.
  8. ^ Jason Kincaid (2009-12-15). "kaChing Raises $7.5 Million To Turn Mutual Funds On Their Heads". Retrieved 2015-03-19.
  9. ^ a b c Tom Taulli (2012-02-07). "Interview: Wealthfront CEO and Founder Andy Rachleff". Retrieved 2014-08-22.
  10. ^ Marcus Wohlsen (2012-10-09). "Now Tech Plebes Can Dodge Taxes Like a Former Governor". Retrieved 2014-08-22.
  11. ^ Kim-Mai Cutler (2012-10-09). "Financial Planning Startup Wealthfront Woos Silicon Valley Workers With A Once-Secret Investment Trick". Retrieved 2014-08-22.
  12. ^ Wommack, Sanders (19 December 2014). "Wealthfront's high-net-worth cat leaps out of the bag -- keeping it one robo 'pivot' ahead of Schwab". RIA Biz. Retrieved 27 January 2015.
  13. ^ Andrea Davis (2016-06-03). "Wealthfront leads robo expansion into college savings plans". Retrieved 2016-07-14.
  14. ^ Neal, Ryan W. "Wealthfront app to help millennials with this lofty goal". www.investmentnews.com. Retrieved 2018-05-17.
  15. ^ "Wealthfront Launches Homeownership Planning Tool - Finovate". Finovate. 2018-01-30. Retrieved 2018-05-17.
  16. ^ "Funding Roundup: Wealthfront Raises $35 Million, Reports 450% Growth". 2014-04-04. Retrieved 2014-08-22.
  17. ^ Gabrielle Karol (2014-06-13). "High-Tech Investing Startup for Millennials Hits $1 Billion in Assets". Retrieved 2014-08-22.

External links[edit]