Wealthfront is preparing for a US IPO

The company did not disclose the terms of the offering, but it was valued at USD 1.4 billion in 2022 when its planned acquisition by Swiss bank UBS was cancelled due to alleged shareholder pushback over the deal’s terms.

More about the announcement

In the US, companies raised USD 9.22 billion in Q1, up 7% from the same period in 2024. However, the total number of IPOs fell to 59 due to trade tensions and market volatility created by the new administration’s tariff changes. Uncertainty regarding President Trump’s policies pushed companies to cancel or hold their IPO plans in the region. However, investor sentiment has changed since, and new listings have gained momentum. Even if there are still concerns over trade policies, tariffs, interest rates, and the conflict in the Middle East, the markets seem to have adapted.

Many fintechs have been received by the US IPO market in recent months, including Israeli-based trading platform eToro and digital bank Chime. Meanwhile, Circle’s IPO, which was founded by USD 1.1 billion raised by the company, has contributed to upcoming offerings from crypto exchange Gemini and Swedish fintech Klarna to apply for an IPO in the US market. Circle’s transaction included contributions from both the company and existing shareholders, with shares offered at USD 31 each, exceeding the previously indicated range.

Wealthfront's IPO plans fit into the recent trend emerging from sectors less affected by trade and supply chain volatility. The company currently offers automated tools, including cash accounts, ETF and bond investing, trading, and low-cost loans, creating investment portfolios and incorporating AI elements into its financial planning software.