U.S. banking and investment company, JP Morgan entered into a deal to purchase online investment robo-advisors, Nutmeg for undisclosed price.
Source: CNBC News.
JPM dips -1.96.
The acquisition plan would complement the strategic goals of the bank to start a standalone digital branch in the UK within the year. Nutmeg manages assets valued over $4.9 billion and offers diverse investment accounts, including pensions and ISAs.
JP Morgan CEO fulfilled his commitment to continue searching for acquisitions to expand the assets and capabilities. The bank is facing intense competition from Morgan Stanley and fintech players such as PayPal.
The fintech industry in the UK is the largest globally, with venture capitalists investing an estimated $4.1 billion in the sector in 2020.
Before the acquisition, Nutmeg had obtained over $150 million in funding from investors, including Balderton Capital and Goldman Sachs.