New York start up Stash secured an additional $40 million in Series C funding, nearly doubling the investing service’s financial backing.
With half a million new users in 2017 alone, Stash is the fastest growing investing service in the United States. The micro-savings mobile app has raised $78 million in the last two years with the latest round led by global asset manager Coatue Management.
“When it comes to investing, too many Americans are standing on the sidelines because they’re unsure where and how to begin,” said Stash CEO Brandon Krieg in a press release. “Stash is the only investment platform focused on educating and empowering beginner investors.”
The app is appealing to first-time investors; 86% of its 850,000 users are new to the idea of growing wealth. Stash reports that 25,000 new customers are joining every week.
“Its rapid growth in a short period of time shows that Stash has found a way to transform how Americans manage their money and gain financial independence,” said Coatue Founder Philippe Laffont in a statement.
Similar to Toronto-based digital investing service Wealthsimple, which cracked into the US market earlier this year, Stash lets users set automatic investments. The app guides users in making investment selections, curating a list of more than 35 investments based on your values, personal goals and risk level.
It only takes a few minutes and costs users as little as $5 to open an account. From there, the platform charges users $1 per month for accounts under $5,000.
“For too long, the financial services industry only made investing accessible to the rich, but at Stash, we believe anyone can become an effective investor with the right tools and education,” said Krieg.
Stash’s education platform makes investing easy to understand by providing financial education to 1.5 million content subscribers.
Stash is available for download on iOS and Android.