#WealthTech / Scalable Capital fundraise gives Germany its sixth fintech unicorn

Europe’s largest digital wealth manager Scalable Capital announced Wednesday that it has raised a $180m Series E, making it the sixth German fintech unicorn.

The round was led by Chinese technology company Tencent, which has also backed local fintechs like N26, Lydia and TrueLayer…

“We see huge demand to invest money in the capital markets instead of leaving it in bank accounts. This comes against a backdrop of record-low interest rates, growing inflation and a widening pension gap”, says Florian Prucker, co-CEO and cofounder.

Half of its clients assets are invested in baskets of securities known as exchange-traded funds (ETFs), which are seen as a more long-term and stable vehicle for investing.