The amount of the transaction was not disclosed. At the time of closing, LearnVest will become a wholly owned subsidiary of Northwestern Mutual and maintain its own brand.
According to Chairman and CEO John E. Schlifske, with the acquisition, Northwestern Mutual will fill the gap between what consumers want and what the financial industry has been able to offer by redefining how financial security is delivered. “Our goal is to take more clients from start to finish, addressing all parts of the planning equation, and to be a partner at the center of their financial lives through all stages“, he said.
Led by Alexa von Tobel, who will remain CEO of LearnVest and be chairman of the LearnVest board, LearnVest is a fintech startup with about 1.5 million users, more than 25,000 clients and close to 10,000 premium clients. Following the close of the transaction, it will continue to offer financial advice, invest in its direct to consumer business, “LearnVest at Work”, and sponsorship businesses, and grow its internal team to further innovate its financial planning technology. The company has 150 employees between New York and Arizona and raised nearly $75 million in venture capital.