JPMorgan Chase to acquire robo-adviser

JPMorgan Chase will acquire Nutmeg, the UK’s largest robo-adviser, subject to regulatory approval. So far, the value of the deal is undisclosed. 

The purchase of Nutmeg will ‘complement’ JPMorgan’s new digital bank, which will be launching later this year.

Sanoke Viswanathan,  CEO of international consumer at JPMorgan Chase, said:

“We are building Chase in the UK from scratch using the very latest technology and putting the customer’s experience at the heart of our offering, principles that Nutmeg shares with us. So we look forward to positioning their award winning products alongside our own and continuing to support their innovative work in retail wealth management.”

Nutmeg has £3.5bn in assets under management. Since its launch in 2011, the digital wealth manager has not reached profitability. Its latest figures show a loss of over £21m, an increase on its 2018 loss of £18.4m. 

Neil Alexander, chief executive of Nutmeg commented on the acquisition:

“Nutmeg’s customers can expect the same level of transparency, convenience and service that helped make us a leading digital wealth manager in the UK. Likewise, I am truly impressed with the digital experience that Chase is building for the UK. This new chapter in our story will see Nutmeg’s customers benefit from a wider range of products and services in the future. In addition, it will allow us to expand into new markets.”

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