Mandeville, Smart Money introduce WealthPort service

Montreal-based National Bank of Canada has acquired a minority stake in Toronto-based robo-advisor firm Nest Wealth Asset Management Inc. for $6 million.

In a related commercial deal signed between the two companies, National Bank’s financial advisors will gain access to Nest Wealth Pro, a white label digital platform through which traditional advisors and their firms can use the robo-advisor’s technology.

“Our objective at National Bank is clear: to augment and complement our present platforms, thereby equipping our advisors with an additional working tool that will take our investment offer to the next level,” says Martin Gagnon, executive vice president of wealth management at National Bank and co-CEO of its brokerage subsidiary, National Bank Financial Ltd. “With this agreement, National Bank is increasing its digital services to end-clients, while continuing to emphasize the importance and value of financial advising relationships.”

“National Bank shares our singular focus on making the end-investor better off and we are excited to work with this great institution to expand the reach of Nest Wealth Pro and our other wealth-management solutions,” adds Randy Cass, founder and CEO of Nest Wealth.

The deal marks the latest partnership between a robo-advisor firm and a traditional player in Canada’s wealth-management industry. In March, Nest Wealth struck a partnership with Vancouver-based Credential Financial Inc. that will see Credential’s partner firms gain access to Nest Wealth Pro.

Read: Working with robo-advisors

In August 2015, Mississauga, Ont.-based media company Metroland Media Group Ltd. made a $1.5-million investment in Nest Wealth aimed at helping both companies meet the challenges of growing in their respective business sectors.

The deal between National Bank and Nest Wealth is subject to regulatory approval.

Photo copyright: tammykayphoto/123RF