VCs poured $761 million into wealth-tech startups like Robinhood and Goldman-backed Raisin in the third quarter. Here are the 5 biggest deals.

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VCs poured $761 million into wealth-tech startups like Robinhood and Goldman-backed Raisin in the third quarter. Here are the 5 biggest deals.

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  • After a slump earlier this year, global VC funding for wealth management-tech rebounded in the third quarter, according to data from CB Insights.
  • Global wealth-tech funding nearly doubled to $761 million from $422.7 million in the prior quarter.
  • Robinhood's $323 million Series E in July was the largest wealth-tech deal for the quarter, and pegged the stock-trading app's valuation at $7.6 billion, by the company's measure.
  • The rise in funding reflects the "globalization" of digital brokerage platforms, Lindsay Davis, a senior analyst at CB Insights, told Business Insider.
  • Visit BI Prime for more stories.

After a slump earlier this year, VC funding for wealth management-tech rebounded in the third quarter, according to data from CB Insights.

Global wealth-tech funding nearly doubled to $761 million across 39 transactions, up from $422.7 million across 38 deals in the second quarter. That category included investments in investment and wealth management platforms and analytics tools.

Lindsay Davis, a senior analyst at CB Insights, told us the rise in funding reflects the globalization of digital stock trading.

"You're starting to see these things emerge on a global scale," Davis said in an interview, pointing to emerging wealth-tech across some Asian countries.

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Robinhood's $323 million Series E round in July, led by DST Global and at least three other investors including Sequoia, marked the quarter's largest wealth-tech deal, according to CB Insights.

That funding pegged the stock-trading app's valuation at $7.6 billion, by the company's own measure.

The next four largest wealth-tech venture capital investments, by CB Insights' count, were fall smaller than Robinhood's round.

Here's a look at the third quarter's five largest VC wealth-tech deals, which CB Insights provided Business Insider.

The jump in venture investment comes as US wealth management and stock-trading has become more crowded and competitive, with legacy players vying for younger consumers' dollars - and catering to their expectations for low- or no-commission accounts.

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Towards the end of the third quarter, the largest discount brokerages, including Fidelity, Charles Schwab, and TD Ameritrade, slashed online trading commissions for US stocks and ETFs for US customers.

And the market for advisers' wealth planning tech has become similarly competitive, with industry giants like Envestnet and Fidelity in recent years buying up providers MoneyGuide and eMoney Advisor.

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