Founders: Sallie Krawcheck (CEO), Charlie Kroll
Launched: 2016
Headquarters: New York City
Funding: $44.6 million (PitchBook)
Valuation: $83.3 million (PitchBook)
Key technologies: Machine learning, software-defined security
Disrupting: Financial services
George Kavallines | CNBC
If there's one thing Sallie Krawcheck knows, it's money. She's been among the highest-ranking women in finance, as both the former CFO for Citigroup and former head of Merrill Lynch. So it makes sense that her two-year-old company — Ellevest — is based on that knowledge. This digital investing platform is designed for women to help close the gender investing gap. Krawcheck understands that women often have a different financial landscape.
Women tend to live longer than men, and with many taking time off from work to care for children, their salary arcs are different, too. That means their investing goals and objectives have to be designed with that in mind.
Ellevest takes all these factors into account and provides women (and men, too; they can use the platform as well) with an investing road map based on the life events they deem most important, whether that's starting a business, having a family, buying a home or retirement. Ellevest uses ETFs for its clients, and there is no minimum deposit to get started. Ellevest Digital charges a 0.25 percent fee for assets under management and 0 percent for emergency funds set up by clients. Ellevest Premium, a new offering, has a $50,000 account minimum but offers one-on-one personalized guidance with a certified financial planner for each client's money goals. It also includes career coaching for its Premium clients.
In September, Ellevest raised $34.6 million in new funding, led by Rethink Impact, Salesforce Ventures and Khosla Ventures, among others. That brings its total funding to $44.6 million. Tennis great Venus Williams is also an investor.
