Raiz Invest has announced its funds under management in Australia have now surpassed $1 billion.
Founded in 2016, the ASX-listed investment platform reported that its average customer balance had grown to almost $3,000 due to continued customer engagement and growth.
“Passing this significant milestone is a huge validation of the Raiz business model, products and brand, which has helped more than 500,000 Australian invest and save,” said Raiz Invest MD and joint group CEO George Lucas.
“Seven years ago, the concept of an investment app accessible to anyone on a smart phone, and as little as $5 to invest, was no more than a pipe dream.
“The Raiz team has worked hard to make this dream come true – and you can see what has been achieved as we pass the $1 billion milestone in Australia.”
Raiz previously reported a total of 555,000 investment accounts in Australia as of 31 October, 29.4 per cent higher than a year ago, while active customers grew 26.7 per cent to 291,000.
The company is also experiencing high growth in its operations in Indonesia and Malaysia, which have recorded a 38.6 per cent rise in active customers and a 43.3 per cent increase in investment accounts in the past three months.
“I am proud that every day we’re improving the financial experience, education, and literacy for a broad segment of Australians, Indonesians and Malaysians, which has and will continue to be an essential part of our purpose,” said Mr Lucas.
Joint group CEO Brendan Malone linked Raiz’s success to its user experience and the products and services on offer, including the introduction of custom portfolios earlier this year that allows users to choose target weightings from a selection of ETFs and bitcoin.
“As our customers get more sophisticated and grow their knowledge, they want to take more control over their portfolio allocations,” said Mr Malone.
“This is illustrated in the continuing growth of the average balance on the Custom portfolio, which now stands at more than $5,500.”
Competing platform Spaceship, which launched in 2017, announced it had surpassed the $1 billion milestone back in July with a customer base of almost 200,000 Australians.
The average customer balance for a Spaceship Voyager portfolio was reported to be about $2,500.
