(January 26 – 09:45 ET) – TD Bank Financial Group is set to form TD iCapital, a US$100 million New York-based venture capital fund to invest in online financial services businesses.
The new venture will be a joint initiative of TD Waterhouse Group Inc. and TD Capital, the bank’s discount brokerage and merchant banking arms. Each will contribute US$50 million to get the fund flying. The fund will be managed by TD Capital, focusing on firms supplying services, content, or enabling technology. It will also look to leverage its investments products though to TD Waterhouse clients and other TD companies.
“TD iCapital will work aggressively to identify online financial services ideas and opportunities, and then act as an incubator by offering entrepreneurs the opportunity to leverage TD’s strengths – technology leadership through TD Waterhouse; financial backing and investment and industry expertise from TD Capital, and a strong North American presence,” says Charles Baillie, chairman and CEO of TD Bank.
TD says the venture was formed in the wake of its recent success with its new online investment bank, which was co-founded by TD Waterhouse with other financial services firms; the REDIBook ECN and the content site worldlyinvestor.com.
-IE Staff