Samantha Horton

Leading Asia Pacific saving and investment platform, Syfe, is set to acquire Selfwealth, one of Australia’s largest digital investing platforms, following a successful shareholder vote on the all cash AU $65 million transaction.

Built on the pillars of access, advice and affordability, Syfe caters to the wealth needs of individuals through diversified proprietary portfolios, cash management solutions, and brokerage. Selfwealth has a trusted and established brand and platform among Australian investors and will provide Syfe with immediate access to a large, committed, and high-quality Australian customer base.

Subject to all remaining conditions being met or waived – including necessary court approvals – the acquisition is expected to be completed on 7 th May. This will result in Selfwealth being delisted from the ASX to begin privately trading as Selfwealth by Syfe, with operations continuing to be headquartered in Melbourne. Group Chief Operating Officer and Head of International Operations, Samantha Horton, will lead the integration on behalf of Syfe.

Commenting on the transaction, Syfe Founder and CEO, Dhruv Arora, said the acquisition aligns with Syfe’s business objectives to grow its presence and investor-base in Australia.

“Selfwealth’s strong user base and credibility in the Australian market make it a natural strategic fit for Syfe. The acquisition will provide a seamless transition for customers, unlocking access to Syfe’s broader suite of investment products and technology-driven solutions over time, while retaining everything that Selfwealth customers presently enjoy,” Mr Arora said.

“We established Syfe in 2019 with a goal to democratise wealth management by making it more accessible and affordable through innovative technology and quality advice. Since that time, we have helped hundreds of thousands of customers to grow their wealth and invest in a better future.

“We believe now is the time to strengthen our presence in Australia. Despite the largest intergenerational wealth transfer in history presently underway, a large proportion of Australians are still keeping their wealth in savings accounts, foregoing significant market returns. For many, the missing link is objective, transparent advice and access to the right investment solutions. Syfe is well placed to tap into this opportunity through advice and education as well as a low-cost, innovative offering that doesn’t compromise on quality.”

Syfe and Selfwealth’s strengths are complementary with a shared focus on long-term investing, mass affluent investors, and a commitment to putting investor needs first. The deal will unlock greater potential to increase the level and speed of product innovation, while significantly improving user experience.

Selfwealth CEO, Craig Keary said “Established in 2012, Selfwealth has over 13 years developed a strong and trusted brand and grown a loyal customer base.

As CEO I am immensely proud of what has been achieved for both customers and shareholders, particularly over the last 18 months. With a refreshed Board and new leadership team, significant progress and success has been accomplished in a short time as we transformed the business to meet shifting customer demands.

Today, we see great value in entering a new phase for the Selfwealth business with Syfe’s vision to enhance the digital investing experience, which is aligned with our commitment to providing accessible and innovative investment solutions to our clients. We are confident that this alignment will deliver enhanced value to all our customers.”

Australia’s growing wealth opportunity

Australia has a significant ‘mass affluent’ population. Meaning, there are nearly 12 million Australians who have investable wealth over $US 100,000 and that number is growing.

“The ‘mass affluent’ growth is a trend across the region and people’s need for quality wealth management services is expected to grow exponentially in the coming years and Australia will be at the forefront,” Mr Arora said.

“Despite unprecedented growth, there remains a gap in the digital investment and advice space, with a lack of options between traditional pure DIY brokerages and expensive private banking or independent adviser services. Syfe’s holistic platform addresses this gap and is our true differentiator, providing global market access, cash management, and end-to-end wealth solutions for retail and corporate investors in over 60 markets. We are excited to extend our offering to more Australian investors.”

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Syfe launched in the local market in 2022, offering customers access to US equities, ETFs and select cryptocurrencies. With a focus on providing Australian investors one destination to help grow and manage their wealth, Syfe is continuing to innovate for customers by extending its current offering based on a deeper understanding of the local market and investor needs.

Syfe’s new, expanded offering is tangible evidence of the brand’s commitment to building a simplified personal finance experience that empowers Australians to grow their wealth for a better future.

While the personal wealth industry has exploded over the last decade with innovation in micro investing, low-cost brokerage and the continued rise of ETFs, the space has only become more complicated for retail investors.

Tim Wallace, General Manager and Country Head of Syfe Australia, said the bolstered offering is designed to help Australians develop a well-considered, diversified portfolio.

“We’re very proud to be the first local trading platform to offer Australians the full roster of ASX and US equities, plus some select cryptocurrencies,” Wallace said. “But this is really about providing Australians with a single app where they can diversify their portfolio with a variety of assets to better achieve their wealth goals.”

Syfe’s decision to launch ASX is backed by market research they commissioned which found that engaged Australian investors are seeking out a simplified wealth experience and a single source of information to help tune out the noise in the market.

“Where previously an investor would need a separate app and account for each new asset class they wanted exposure to, we’ve collapsed this experience into one streamlined platform, simplifying the complex wealth journey,” Wallace said.

“A key goal of ours is to continue working towards developing a comprehensive offering that arms users with full wealth management capability.”

While a significant development for the Australian retail investing landscape, Wallace said Syfe’s launch of ASX trading is part of a larger journey towards providing Australians with comprehensive tools to help them achieve their wealth goals.

“We’ve set ourselves an ambitious roadmap for 2023 with further announcements expected in H1, and we’re well on track to make these,” said Mr Wallace. “Our vision for Syfe in Australia is not only to be a platform to gain exposure to various assets, but a personal finance destination where Australians can manage all aspects of their wealth.”

Alongside its expanded trading capabilities, Syfe will also be extending on its current content approach to better enable investors who are exploring ASX listed companies.

One example is Syfe launching their 2023 ASX Playbook, which will unpack the current state of the ASX following February’s 2023 earnings season, including the most recent performance of some of Australia’s most important companies, while also providing actionable investment insights and key things investors should watch for in the months ahead.

Coupled with free insights and expert recommendations, investors will be well equipped to make data led decisions for their investments.

“At Syfe, we’re providing Australians with the tools and asset classes to enable a well constructed and diversified portfolio, to ultimately build their wealth,” Wallace said. “To help our users along their path to financial success, we’ll be curating specialised content to help educate and inform our users on how to use a variety of asset classes to build a robust, diversified portfolio.”

From 9 March, Australians using Syfe will be able to trade more than 2,000 ASX-listed equities and ETFs on the Syfe app.

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