A trawl through Nutmeg’s latest shareholder updates has revealed the wide range of City grandees backing the online wealth manager.
Icap’s ex-chief executive Michael Spencer, former Lloyds chairman Sir Victor Blank and Charles Ferry, Brewin Dolphin’s head of private clients, feature among its long list of backers.
Other investors in the robo-adviser are understood to include Prusik’s chief investment officer Heather Manners and UK Financial Investments’ chief executive Oliver Holbourn, who have invested in a personal capacity.
Ferry’s Brewin colleagues Nicholas Fitzgerald and Simon Blowey, head of financial planning and senior wealth manager respectively, also appear as backers and are thought to have personally invested in the firm on account of their relationship with ex-colleague and Nutmeg founder Nick Hungerford (pictured).
Saranac’s ex-managing partner David Giampaolo also holds a stake alongside Colin Burrow, a senior investment manager in Aberdeen Standard Investments’ private equity team – who is also a shareholder in Hungerford’s new venture, Hulgrave. In addition, Starwood Capital’s vice president Richard Vaaje is understood to have a stake.
All of these names feature on Nutmeg’s shareholder register and represent personal investments that were made at different stages of the firm’s earlier development.
Analysis based on Companies House filings shows that Hong Kong-based financial services firm Convoy Technologies is the largest shareholder, with a 17.9% stake, following a £24 million investment, which accounted for the bulk of a £30 million capital raising in 2016.
Taipei Fubon Commercial Bank is the second largest shareholder with an 8.95% holding. The Taiwanese bank invested £12 million in 2016, in a subsequent cash call following the £30 million capital raising. Schroders and Balderton Capital are the joint-third largest investors, with stakes of 8.41% apiece.
The total cash call in 2016 was in D preferred shares, issued at a share price of £10.53.
Over the course of 2017, ex-chief executive Hungerford increased his stake by 63,500 ordinary shares, purchased at 38p per share. This takes his total position up to 775,250 shares.
Nutmeg CEO Martin Stead said he was pleased with the progress made in 2017, including seeing assets under management top £1 billion.
‘After a year of considerable growth, we are seeing a tipping point for wealth management in the UK and are excited about the future,’ he said.