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TechCrunch+ roundup: 2021 edtech report, UBS-Wealthfront deal, falling startup revenue – TechCrunch

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I could spend hours discussing early-stage startup operations and community-based marketing, but deal flow is my blind spot. But when investment banking firm UBS picked up financial robot-advisor Wealthfront for $1.4 billion in an all-cash deal this week, I noticed. "At those prices, the company's exit price is a win in that it represents a 2x or greater multiple on its final private valuations," wrote Alex Wilhelm in The Exchange. "But its exit value is also parsable from a number of alternative perspectives: AUM, customers and revenue," he added. Examining each of those factors in turn, Alex found that the deal is more than just a "next-gen push" intended "to reach rich young Americans," as some headlines suggested.


Artificial Intelligence Speeds Up The Planet's Financial System

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Artificial Intelligence Speeds Up The Planet's Financial System Both the financial crisis of 2008 and the COVID-19 pandemic stressed the financial markets. They resulted in uncertainties, market declines, and negative economic growth. Yet the financial market recovered much faster after the COVID-19 outbreak than the 2008 crisis. The main differences in recovery speeds between the two crises are the timing of the Fed's support, fintech innovations, and technology developments on trading and on general productivity. These factors change the data flow, market dynamics, and recovery speed.


Startups Weekly: What the E-Trade deal says about Robinhood – TechCrunch

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How well do Robinhood's financials stack up against incumbent online brokerages? While we wait for the seven-year-old company's long-planned IPO, Alex Wilhelm examined Morgan Stanley's big $13 billion purchase of E-Trade for fresh data comparison points. Robinhood has 10 million accounts -- twice what E-Trade has -- but it also appears to make much less money per user and has far fewer assets under management, as he covered for Extra Crunch. So while its fee-free approach has destroyed a key revenue stream for competitors, it still has to grow its own "order-flow" business into its private-market valuation. One solution is to make the platform stickier via social features.


From Investing To Budgeting, How Millennials Are Disrupting Personal Finance - CB Insights Research

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In 2013, 68% of millennials believed that the way we access our money would be totally different in five years. So how are the money habits of this disruption-ready generation changing the way we manage money? While the media often portrays millennials as preoccupied with the rising prices of festival tickets and avocado toast, their real financial concerns are a bit more practical. Download the free report to find out how fintech is shaping the future of wealth management and investing. A 2018 survey by Bank of America shows that millennials' top financial priorities were saving for emergency funds (64%), saving for retirement (49%), and saving to buy a house (33%) -- not much different from the concerns their baby boomer parents had 30 years ago. But millennials face significant headwinds in making those financial dreams a reality. Having come of age during the Great Recession and its climate of wage stagnation, and being burdened by unprecedented levels of student debt, millennials have been called "the brokest generation." However, millennials are proving to be a fiscally conscientious generation, saving more and earlier than previous generations did at their age.


Susa Ventures raises 50 million in second fund

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Susa Ventures, a San Francisco-based seed-stage venture firm, announced today that it has secured a 50 million fund, Susa Ventures II. This is just the second fund for the firm, which was founded three years ago and has so far backed 41 companies through its first fund of 25 million. With its new fund, Susa plans to back 12 companies per year at seed investments falling between 400,000 and 750,000 (roughly twice the check size compared to Fund I investments). Furthermore, the firm has wisened up about the way it invests. In Fund I, Susa adhered to a 1:1 ratio for follow-on funding.