Photo by rawpixel.com from Pexels.
News Savings And Investment
AltFi Insights: Here’s which digital wealth manager is hiring the fastest and why
Which two wealth managers have reached over 200 staff in the past year and are still hiring?
AltFi Insights are articles where we analyse, unpack or exclusively reveal something new happening in peer-to-peer finance, fintech or crypto.
While some larger players like Investec are calling it quits in the world of digital wealth management, clearly others are doubling down.
Cash flooding into the sector is one indicator of who’s doing well, as are assets under management, but another signal is recruitment, and luckily job hiring is largely done in public with analysis of LinkedIn pages also giving us insight as to what’s happening behind the scenes.
For example, Nutmeg has long been the largest digital wealth manager operating in the UK, with over 200 staff since May 2018, but that title has now been taken by fast-growing Canadian fintech Wealthsimple, which now has 228 staff running its operations across the US, UK and Canada.
Wealthsimple’s hiring continues at pace with its team expanding by 11% over the last six months and 26 positions being currently advertised, versus Nutmeg’s 5% growth with just 9 positions listed.
But while Nutmeg may have lost the title as the UK’s largest digital wealth manager by headcount, it’s staff are impressively loyal boasting the longest average tenure of the industry at 2.2 years.
It should be noted that overall average tenues in digital wealth management were significantly higher than those we found in digital banking.
And while Nutmeg and Wealthsimple are operating at a vast scale compared to some of their smaller challengers, these startups aren't slowing down either.
While having a far smaller operation, Moneybox has grown its team by 78% in the last year alone, now boasting a workforce of 57.
Scalable Capital and Moneyfarm are both fairly even when it comes to headcount, growth rates and advertised positions (16 and 18 respectively).
Wealthify, acquired by Aviva in 2017, had the slowest headcount growth of any digital wealth manager at just 3% in the last six months and with only 4 positions advertised, indicating the company has slowed its hiring to plateau at around 35 staff.
Looking ahead, given its recent $75m fundraise and international reach, it’s fair to assume Wealthsimple will continue hiring at pace as it expands to new markets.
Nutmeg has also seen a resurgence of late with cash from Goldman Sachs, partnerships in Asia and expansion into pensions helping it reach £1.5bn in assets under management.
Another angle to bear in mind is the many fast-growing but smaller digital wealth managers with fewer than 20 staff who are not counted by LinkedIn—like Exo Investing,Tiller and Fountain Money.
[*buildCollectionDisplay::10??list??6*]
Companies In This Article
