Millinium invests in Ignition Wealth

Millinium Capital Managers recently announced their investment in Ignition Wealth as part of their Millinium Alternatives Fund. Fitting with the Fund’s objective to provide remarkable returns to investors, Millinium’s directors have identified the digital financial advice field as set to experience notable growth for the next couple of years.

This article was originally published on Financial Observer.

Author: Jerome Doraisamy

Publication: Financial Observer

Millinium Capital Managers yesterday announced it had invested in digital advice finance provider Ignition Wealth as part of its Millinium Alternatives Fund mandate to explore high-growth opportunities.

Millinium’s directors noted the digital financial advice sector would experience significant growth in the coming years, given consumer demand for lower costs and simple user experience, as well as the best interest legislation.

The characteristics of the industry were a strong fit with the Millinium Alternatives Fund’s objective to deliver extraordinary results to investors, Millinium managing director Tom Wallace said.

“We believe that Ignition Wealth delivers the best-in-class offering for the Australian market and provides the best opportunity for growth,” Wallace said.

Ignition Wealth chief executive Mark Fordree agreed, noting the digital advice provider’s strong capabilities in an expanding market.

“We welcome the investment in Ignition Wealth by the fund – it is vital to match our capital resources with both our growth profile and market opportunities,” Fordree said.

“We have a number of significant transactions in the pipeline [and] we are focused on executing those opportunities and rewarding all of our investors.”

Fordree told financialobserver the group’s largest opportunities lay in becoming an outsourced digital advice provider for large institutions.

“We have a broad cross section of conversations underway but the gestation period of the discussions lies largely with our counterparties,” he said.

“Our primary challenges are all around bringing sophisticated investing to the average person who is currently locked out.

“We need to reach the addressable market, make sure they know who we are, how easy it is to use digital financial advice and how using our tools can build their wealth.”

He further said it had a healthy capital base, enabling it to focus on growth and delivering digital financial advice to the mass market.

“There has been a monumental shift over the past two years in boardrooms around the country,” he said.

“[Institutions] are now recognising that it is essential that they implement a digital strategy or they will be unable to participate in this rapidly growing area.”