Press release

Ellevest Raises $33 Million to Help Women Unleash Their Financial Power

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Ellevest, the digital investment platform built by women, for women,
announced today that it closed a $33 million funding round, led by
Rethink Impact and PSP Growth. New investors include Pivotal Ventures,
the investment and incubation company founded by Melinda Gates (yes, that
Melinda Gates); PayPal; Elaine Wynn, co-founder of Wynn Resorts; Eric
Schmidt, former executive chairman of Google and Alphabet; Valerie
Jarrett (yes, that Valerie Jarrett); Gingerbread Capital (founded
by Linnea Roberts); and Mastercard. Returning investors include Aspect
Ventures, Khosla Ventures, Morningstar, Astia Angels, Creditease Fintech
Investment Fund, and Ulu Ventures.

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“Today, we bring in a group of rock star investors deeply aligned with
our mission. And it’s no coincidence that many of them are unparalleled
changemakers and advocates for women who understand that being
under-invested can cost women a fortune over their lives,” said Sallie
Krawcheck, Ellevest’s co-founder and chief executive officer. “And it
can be life-changing money. Retire-like-an-Instagram-influencer money.
Get-your-hand-off-my-leg money.”

“When the status quo isn’t meeting women’s needs, it deserves to be
disrupted, and that’s what this platform created by women for women aims
to do,” said Melinda Gates, investor. “Women’s lives and realities are
different than men’s, and I think we’ll see more and more of a demand
for products designed to reflect that. This is an important market
opportunity that Ellevest is well-positioned to tap into.”

The funding comes on the heels of fast growth in several new product
areas, including Ellevest Private Wealth Management, designed for high
net worth clients — which hit the milestone of $100 million in assets
under management — and Ellevest’s unique Premium service, which gives
women access to a team of Executive Coaches and CERTIFIED FINANCIAL
PLANNER™ pros so they can take their career and money goals to the next
level. Taken together, Ellevest’s services can now serve women and their
allies across their stages of life through a combination of technology
and personal service.

It’s been a pretty good couple of weeks for women-led companies
bringing the thunder: Glossier and Rent the Runway became “unicorn”
companies valued at more than $1 billion after new rounds of funding.
It’s also been a decent year: The Wing, ThirdLove, Billie, and Landit
all announced funding rounds in the past three months. All of these
companies have something in common with Ellevest: They came into being
because the status quo didn’t fit women’s lives.

Jenny Abramson, founder and managing partner of Rethink Impact, says,
“Since we invested in Ellevest’s last round nearly two years ago, Sallie
and her team have achieved exponential growth and helped countless women
to take hold of their financial futures. We’re thrilled to co-lead this
round, and look forward to continuing to partner with the company and
its stellar community of investors.”

“I’m so pleased to support Ellevest as it leads the way to help women
become financially stronger and meet their money goals,” said Valerie
Jarrett, co-chair of the United State of Women. “When women are stronger
financially, that means a stronger economy and a stronger society. We
need this change right now.”

Ellevest will use the capital to accelerate its growth — including
investing in its technology, expanding into new product categories, and
working with women to develop new, non-boring financial education.

The company will also double down on building its community. With so
many women not talking about money — to the point that they’d rather
talk about anything else — the company is unique among financial
services companies for the community that it’s built over the two years
since it launched.

“Ensuring that all women have robust financial tools to improve
financial health and seize more opportunities is a societal imperative,”
said Dan Schulman, president and CEO, PayPal. “We are proud to support
Sallie and her team at Ellevest who are helping to level the playing
field by pioneering investment solutions tailored to women. The growth
in Ellevest demonstrates that, even in a crowded market, there is always
opportunity for customer-focused solutions to win.”

SOME INTERESTING ELLEVEST STATS

Clients

  • Clients in all 50 states and Puerto Rico (Sorry, Canada, we hear you
    and maybe someday)
  • Clients’ ages: 18-85; average age: 34

Goals

  • #1 goal women are investing for with Ellevest: Build Wealth
  • #2 goal: Retirement
  • #3 goal: Emergency Fund
  • #4 goal: Buying a Home

Team Diversity

All team:

  • 74% identify as female
  • 43% are people of color

Engineering:

  • 50% identify as female
  • 41% are people of color

About Ellevest

Ellevest is a transformative financial technology company created to
help women achieve their financial potential through modern, low-cost
investing, with a beautifully designed digital platform backed by a
unique investing approach. From a gender-smart investing algorithm for
digital-only customers to bespoke portfolios for private wealth clients,
Ellevest also provides the option to invest for impact and in other
women. Ellevest is for those who believe that because women generally
have longer lifespans and are typically paid less than men, the old
approaches haven’t worked for everyone — and that when women thrive,
everyone is better off. Ellevest is led by Sallie Krawcheck, called the
“Last Honest Analyst” by Fortune magazine, and was named in
NerdWallet’s Best Robo-Advisors in 2019 and 2018.