FNZ Acquires Digital Investment Platform ‘Hatch’ From Kiwi Wealth
FNZ, the leading global wealth management platform, has today agreed to acquire Hatch, an online investment platform, from Kiwi Wealth.
Hatch is a ‘direct-to-consumer’ (D2C) digital investment platform that provides New Zealanders with easy, affordable and reliable access to the US share markets. It serves over 130,000 customers and more than NZ$2 billion has been transacted on the platform since it was founded in 2018. Users can manage their own investments through the Hatch online platform, accessing market-leading brands that may not have been as easy or as affordable to access in the past.
FNZ, which was founded in 2004, also in Wellington, provides an integrated technology, transaction and custody platform to wealth managers, banks, insurers and asset managers in 17 countries across North America, Europe and Asia-Pacific to enable digital wealth management for around 20 million investors with approximately $1.4 trillion in assets.
This acquisition is an investment by FNZ in improving access to global wealth management solutions for all New Zealanders. FNZ intend to invest heavily in Hatch to broaden the range of asset classes, investment styles and expand the offering in other markets.
Hatch will operate as an autonomous business unit within the wider FNZ Group, which will allow Hatch to retain its entrepreneurial, customer-focussed culture whilst benefiting from access to products, markets, technology and investment from FNZ.
James McDonnell, CEO of FNZ New Zealand, said: “The employees and management team of Hatch have built an incredible business in the three years since their inception. This transaction enables Hatch to accelerate its pace of growth and expand its product offering.
“As a business founded in New Zealand, we are delighted to have the opportunity to support a thriving and entrepreneurial homegrown start-up that allows its growing customer base to invest in companies they believe in.”
Hatch Co-Founder and General Manager Kristen Lunman said: “Under the new ownership of FNZ, we have the necessary backing to scale at the pace a high-growth start-up requires. Hatch was the first to bring Kiwis easy and affordable access to the US share markets and fractional investing.
“In the future, with FNZ’s support, we intend to offer our customers further options that put their money to work, provided by the same team and community they are familiar with. FNZ has the resource, appetite, and global footprint to take Hatch to the next level.”
Kiwi Wealth Acting CEO Rhiannon McKinnon added: “The culture of innovation at Kiwi Wealth made Hatch possible, and Kiwi Wealth is proud to have incubated the Hatch platform and seen it grow into the popular online investment platform it is today. We recognise Hatch’s appetite for expansion following the success of the incubation period, and this new owner will enable it to reach its full potential in the global arena.
“Every Kiwi deserves a trusted financial partner. The sale of Hatch will enable Kiwi Wealth to further invest and innovate in the advice space to help Kiwi make better financial decisions in the long term.”