SigFig, the buzzy robo-adviser that's partnered with big wealth names, has cut around 10% of its staff

Business Insider Finance 0 month ago

SigFig, the robo-adviser that's inked deals to sell its tech to some of the world's biggest wealth managers, has cut about 10% of its workforce — around 20 people — Business Insider has learned.

The company in recent months has also seen departures in roles heading up its strategic partnerships and overseeing wealth management client relationships. 

The firm, founded in 2007, directly oversaw some $485 million in assets under management as of March, according to regulatory filings, but that doesn't include assets held at other firms like Wells Fargo that use SigFig's technology on a white-label basis.

Robo heavyweights Wealthfront and Betterment directly handle some $20 billion and $16 billion of client assets, respectively. 

SigFig did not immediately respond to multiple requests for comment on the job cuts. 

Robo advisers like SigFig are trying to shake up the wealth business by offering automated financial advice to investors at a lower cost than traditional human advisers. 

SigFig's business largely differs from that of Wealthfront and Betterment, in that it markets its services primarily to wealth managers like UBS, Wells Fargo, as well as Citizens Bank Wealth Management, rather than directly to investors. 

For example, UBS in April 2018 launched its first US digital advice service by partnering with SigFig. That robo was geared towards UBS' Wealth Advice Center clients.

Earlier this month, SigFig and financial data provider Refinitiv said they were partnering to offer SigFig's robos directly to clients that are already on Refinitiv's clearing and custody platform. 

Separately, two high-ranking executives have exited in recent months. Martin Attiq exited SigFig in August as the firm's head of strategic partnerships, and Randy Bullard left in September as general manager of wealth management. 

Attiq, who was previously with asset management giant BlackRock for a decade before joining SigFig in 2016, left the firm to explore other opportunities, the firm told Business Insider. He will stay on as an adviser, according to a post on his LinkedIn account. 

Bullard, who was previously general manager of wealth management at the start-up, is now the global head of wealth at investment management software provider Charles River, which is owned by asset management giant State Street. 

SigFig last raised $50 million in a June 2018 funding round led by General Atlantic, with participation from returning investors including Bain Capital Ventures, DCM Ventures, Eaton Vance, New York Life, Nyca Partners, UBS, and Union Square Ventures.  

Dakin Campbell contributed reporting. 

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