Addepar, a technology platform for wealth management, announced it has closed a $117 million Series E funding round, led by WestCap Group (“WestCap”). WestCap’s investment from its flagship Strategic Operator Fund was led by Laurence A. Tosi, WestCap’s Founder and Managing Partner as well as a member of Addepar’s Board of Directors for the past two years, and by Scott Ganeles, also a partner at WestCap. As longtime partners, Tosi and Ganeles co-founded Ipreo, a leading capital markets Fintech company which was sold to IHS Markit for $1.9 billion in 2018. Other investors in the round include 8VC, the venture fund founded by Joe Lonsdale, who is also the founder of Addepar and co-founder of Palantir. Sway Ventures also participated in the round, which brings Addepar’s total funding to date to approximately $325 million. The funding will be used to support the expansion of the company’s market leading data aggregation, analysis and reporting platform for investors and advisors.
Addepar is one of several strategic investments made by WestCap in FinTech over its 20-year history. Tosi and Ganeles have focused WestCap’s Fintech strategy on the nexus of technology and private capital markets, a segment of the financial industry that has historically been underserved by technology and one that holds a significant and growing portion of the world’s investable capital.
Addepar has sustained client, revenue, and asset growth, and now has more than $2 trillion in client assets on the platform. Addepar has sustained its pace of adding an average of $10 billion per week – reflecting Addepar’s market leading position and high growth profile.
“Addepar is an intuitive and critical platform for effectively tracking and managing a wide range of financial assets. The Addepar team has brought the best of Silicon Valley innovation and Wall Street risk management capabilities together and is fundamentally transforming the financial industry by giving investors more visibility and control over their investments,” said Mr. Tosi. “Addepar will see continued high growth as investment management firms need even greater speed, clarity, and insight to stay competitive and manage risk. The company’s performance during this unprecedented time of volatility shows its ability to deliver unmatched value across market cycles.”
“There are more than $120 trillion in investable assets globally, and the striking majority of these investments are managed in spreadsheets, using decades-old processes. Addepar is making meaningful technology- and data-driven innovations to maximize the impact of this capital, and bringing our solutions to a wider audience,” said Addepar CEO Eric Poirier. “The growth we’ve experienced this year is a direct result of putting our clients at the center of our priorities. We’re continuously pursuing novel ways to expand the value we bring to each of these relationships. We are winning in our core markets and see a substantial opportunity to grow, and we’re ideally positioned to continue expanding our business in new dimensions as our team drives towards our bold vision with our client, partner and investor community.”
Over the past year, Addepar has continued to invest heavily in innovation, delivering products and introducing new offerings that amplify the results wealth managers can bring to their clients as they navigate challenging market conditions while adapting to a new virtual workforce. In May, the company launched Marketplace, an application offered through Acervus Securities that lets advisors buy and sell alternative funds, private company securities, and invest in cash deposit programs in one place for the first time. Earlier in the fall, the company introduced the Addepar Investor Sentiment IndexSM, a first-of-its-kind index of U/HNW investor sentiment derived from aggregated and anonymized U.S. equity transactions captured on its platform.
Addepar now serves over 500 family offices, RIAs, and banks, working with thousands of advisors and handling millions of daily transactions. Punctuating their client-centric offerings, this November, Addepar will also host its inaugural Client Advisory Board, bringing together the country’s top independent wealth management firms, representing the industry’s brightest and boldest minds, to lend insights to Addepar’s strategic plans to deliver continued and lasting value to clients and partners.
