Plaid forays into wealth management with Quovo purchase

Fintech firm Plaid has acquired Quovo, which offers data aggregation for wealth management and brokerage industries.

Both Plaid and Quovo link customers’ financial accounts with financial apps, though the focus of the latter is more on investment data.

Financial terms of the deal were not revealed. However, according to Bloomberg, the deal is valued at $200m.

Plaid co-founders Zach Perret and William Hockey said: “In acquiring Quovo, we are extending our capabilities to a wider class of assets.

“Our goal is to make money easier for everyone, and doing so requires that we consider consumers’ financial lives holistically. We’re excited to work with the Quovo team to enable this.”

Quovo’s existing customers include Betterment, Wealthfront, SoFi, Stifel, Vanguard, Empower Retirement, and John Hancock.

Quovo co-founder Lowell Putnam said: “Plaid’s leadership in bank account connectivity will now be complemented by our leading investment, insurance, and loan account coverage.

“Combining our platforms will create a better experience for our customers while also enabling new services to be developed that consider the full financial picture of today’s consumer. When we started talking with Plaid about what the future might look like as a combined company, it quickly became clear that we’d be stronger together.”