Fintech behind Revolut and Robinhood trading expands to LatAm market
Through a partnership Sproutfi, retail investors in Latin America now have access to DriveWealth’s fractional US equities platform.
Through a deal with Sproutfi, a social-first investment platform expanding low-cost access to investing in the U.S. markets to Latin America users, DriveWealth has entered the region as it continues a rapid expansion plan. Accounts opened through the Sproutfi platform will be held at DriveWealth.
Users will now be able to invest on a dollar equivalent basis (i.e. fractional shares) in over 6,000 U.S. securities and ETFs.
Latin Americans have previously had few routes to US stock market access, not to mention very low access to basic financial services and banking. Just under half (46 per cent) of the population in Latin America do not have access to financial services according to the World Bank.
Fintech is booming in the region, though. Nubank, a Latin American neobank claims 40 million customers since its 2014 launch.
“We believe in the power of learning by doing here at DriveWealth and Sproutfi is doing just that – they’re making it easy for communities to learn how to invest by removing the traditional barriers that have previously held them back,” said Bob Cortright, Founder and CEO of DriveWealth.
Ruben Guerrero, Co-Founder and CEO of Sproutfi added: “Thanks to this partnership, all investors in Latin America can easily access the technology they need to build long-term wealth in collaboration with their friends, family members, and online communities.”
DriveWealth’s valuation has also topped $2.85bn when it last raised cash from investors in August 2021 with a $450m Series D round.