Two more celebrities may be throwing their weight behind a familiar roboadvisor.
Singer-actress Jennifer Lopez
and her fiancee, baseball star Alex Rodriguez
, are investing in Irvine, California-based Acorns
, the Wall Street Journal reports
. J-Lo fans may not be surprised, as Acorns CEO Noah Kerner
was once J-Lo's DJ.
Fox Business also covered
As of Acorns' latest funding round, series E (from back in January), the roboadvisor has raised a total of $207 million, Crunchbase estimates
. Existing Acorns backers include: basketball star Kevin Durant, actor Ashton Kutcher, Acorns ally PayPal
, cable and media giant Comcast, and a host of venture capital firms. At least two asset management titans, BlackRock
and Capital Group
, are also investors in Acorns, and, per the WSJ
, singer Bono is also a backer. Acorns' board includes the former chief of another roboadvisor and a famous behavioral economist, and two Nobel-prize-winning economists are advisors to the firm.
Acorns' team of 12 employees (not counting clerical staff) managed more than two million discretionary accounts with about $1.15 billion in AUM as of the firm's most recent ADV
, filed back in February. That translates into an average account size of about $558. The firm's pricing model is based on monthly flat fees of $1, $2, or $3 for accounts with less than $1 million (though the $1/month service is "free for college students"), so those two million accounts could translate into $6 million or more in monthly revenue for the firm. Acorns' portfolios are built out of ETFs from BlackRock, Pimco, and Vanguard.
Neil Anderson, Managing Editor
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