Startup profile · funding coverage
OpenInvest funding, valuation and investors
ESG direct-indexing platform for wealth advisors before J.P. Morgan acquired it in 2021.
Keep track of OpenInvest
Save this profile to your VCT watchlist for a quick return.
Funding, valuation & investors
Answer-first snapshotLatest funding
Series A
$10.4M · July 2018
Latest known valuation
Not publicly disclosed
Total disclosed equity funding
$14M
Excludes debt, grants, acquisitions, secondaries, and IPO proceeds.
Current status
acquired
acquired · San Francisco, CA
Overview
OpenInvest built software that let financial advisors create customized, values-aligned separately managed accounts (SMAs) that still tracked market indices. Advisors could tailor portfolios around environmental, social, and governance (ESG) themes, run tax-loss harvesting, and give clients impact reports plus direct proxy-voting access. Founded in 2015 by former Bridgewater Associates engineers and a World Wildlife Fund sustainable-finance expert, the San Francisco company sold primarily to RIAs and wealth platforms. J.P. Morgan Asset & Wealth Management agreed to acquire OpenInvest in June 2021 to integrate its ESG customization into private-bank and wealth-management offerings, alongside the bank's 55ip tax-smart portfolio technology. Deal terms were not disclosed; OpenInvest had raised roughly $25M prior to the sale.
Why OpenInvest is interesting
OpenInvest turned ESG from off-the-shelf fund menus into direct-index customization with proxy voting — a workflow JP Morgan bought to pair with 55ip tax overlay inside wealth management.
Product & use cases
OpenInvest's platform let advisors build dynamic custom indexes around client values, automate tax-aware rebalancing, and produce impact reports showing portfolio-level ESG outcomes. APIs supported firm-level investment discipline while allowing relationship managers to personalize holdings.
- Values-based SMA construction for HNW clients
- ESG impact reporting and proxy voting for advisors
- Tax-loss harvesting on customized index portfolios
Key facts
- Founded 2015 in San Francisco
- Seed (2017): $3.25M led by a16z
- Series A (2018): $10.4M led by QED
- Acquired by J.P. Morgan Jun 2021; terms undisclosed
- ~$25M raised pre-acquisition per CNBC
Funding history (newest first)
Series A
2018-07 $10.4M- QED Investors (lead)
- Andreessen Horowitz (participant)
Seed
2017 $3.25MSource: https://www.hbs.edu/faculty/Pages/item.aspx?num=54852
Investors in our directory
Funds linked from OpenInvest's profile — open a fund page for stage focus and related deal articles.
Competitive landscape
Edge: OpenInvest combined direct indexing, values customization, and impact reporting in one advisor-facing stack — deeper personalization than off-the-shelf ESG mutual funds or ETFs.
OpenInvest competed in advisor ESG direct indexing against Ethic and incumbents like Parametric. Its edge was tying values screens, tax-aware indexing, and client-facing impact reports into one platform — the combination J.P. Morgan wanted for wealth clients.
-
Parametric Portfolio Associates incumbent
Incumbent direct-indexing provider; stronger on pure tax optimization, less native ESG workflow.
-
Ethic direct
Competing values-based direct indexing for advisors with similar personalization thesis.
-
Morningstar Sustainalytics adjacent
ESG ratings data layer; not an execution platform.
Notable stories
- Co-founders came from Bridgewater portfolio systems and sustainable finance; J.P. Morgan approached during an in-progress Series B per CNBC.
- OpenInvest was among the first VC-backed Public Benefit Corporations in fintech.
Industries
Related funding articles
Venture Capital Tracker pieces that cover OpenInvest's financing or category context.
FAQs about OpenInvest
Practical answers founders, operators, and investors typically search for.
Last updated:
Editorial note: AI tools assisted with research, structure, or drafting. Venture Capital Tracker retains human editorial responsibility for factual accuracy, relevance, and source quality before publication.