Adviser Innovation logo
Advisor Inovation logo
Retirees the ideal market for fintechs, says VC firm

Retirees the ideal market for fintechs, says VC firm

author image
By Killian Plastow ·
May 07 2018

Retirees the ideal market for fintechs, says VC firm

Fintech firms with a focus on retirement will be more profitable than their Millennial-focused peers, according to US venture capital firm Centana Growth Partners.

Speaking to delegates of the Netwealth US Study Tour in New York last week, Centana founder and partner Ben Cukier said many funds and venture capitalists are investing in Millennial-focused fintech businesses despite the Millennials' lack of investible assets.

"The problem is millennials have no money today," Mr Cukier said.

Mr Cukier noted that fintech businesses are receiving investment from a number of venture capital funds, but cautioned that these funds are missing the opportunities presented by fintech businesses with a retirement foucs.

"These guys are hunting on the wrong side of the tracks," Mr Cukier said.

"It's not about the millennials, it's all about the older guys."

Mr Cukier explained that Millennials currently account for only 4 per cent of assets under management, with that figure tipped to grow to an "impressive", but not significant, 14 per cent in the next 10 years.


Further, the variability and uncertainty around life expectancy opens a number of avenues for fintechs to add value to retiree clients, Mr Cukier said.

Unable to extract YouTube ID from URL
Forward this article to a friend. Follow us on Linkedin. Join us on Facebook.
Find us on Twitter for the latest updates

Subscribe to our Newsletter

We Translate Complicated Financial Jargon Into Easy-To-Understand Information For Australians

Your email address will be shared with nestegg and subject to our Privacy Policy

latest articles