Got spare dollars to invest but not necessarily millions of them? Don’t mind sharing your bank account information with a startup? The growing sector of online financial advisers now has another well-funded entrant, with FutureAdvisor closing a $15.5 million Series B round.
The financing was led by Rebecca Lynn of Canvas Venture Fund, who also sits on the board of Lending Club, and includes previous investor Sequoia Capital.
San Francisco-based FutureAdvisor is one of a class of online investment startups that includes Wealthfront, Betterment and Personal Capital. Its selling point is that it helps people rebalance their existing 401(k), IRA and taxable accounts — rather than helping them set up dedicated new accounts — either by giving them free advice or moving actual money around for a 0.5 percent annual management fee.
FutureAdvisor has more than $110 million in assets under management (for the paid product), and it tracks $11.4 billion in total (that’s the free product), making it the smallest of the group, but also the youngest.
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