Capita has entered into a strategic ‘scaling partnership’ with Munnypot Limited, the award winning, online robo-advice savings and investment platform.
Under the terms of the agreement, Capita has become a shareholder in Munnypot in return for entering into a long-term relationship providing business development services.
Currently the vast majority of people in the UK cannot get genuine savings and investment advice because it is cost prohibitive, Munnypot addresses this issue by making high quality regulated advice accessible and affordable.
Over the course of the next decade, tech savvy millennials will form almost half of the world’s working population. These tech adopters are driving the growth of the nascent robo-advice market at a considerable pace. By 2025 it is estimated that £140bn of UK savings and investments will have been originated via robo-advice, compared with £2bn today. Young digital savings businesses have captured 90% of this market, whilst established financial institutions are struggling to keep pace with the rate of change and often miss the mark with their own in-house developments.
Munnypot focuses on providing its solution as a white label product for financial services firms. The benefits of this technology for Capita’s established financial services clients are considerable, not only in terms of capturing a share of this burgeoning global market, but also in ensuring compliance with new regulations and significantly reducing the cost of compliance oversight.
Through this partnership we will work with Munnypot to design solutions for wealth management firms, enabling them to go to market with a best in breed robo-advice solution in less than 100 days. Capita will also support Munnypot to ensure they continue delivery excellence as they scale up. Because Munnypot addresses the vast majority of workers who cannot get quality financial advice in the UK, Capita is seeking to build Munnypot into our overall financial wellbeing strategy.