The company has raised $32m in fresh capital to fund its development. Other investors include Carphone Warehouse founder Charles Dunstone and venture capital firm Balderton.
Nutmeg offers online portfolio management to anyone with £1,000 or more to invest. It has over 35,000 registered users and customer acquisition in Q1 was 350% up on the same period last year, the company said.
Nutmeg was founded by Nick Hungerford, who has a wealth management background and financial services software expert William Todd, who has worked on derivatives exchanges across Europe and Asia.
“We are delighted to participate in funding Nutmeg’s next stage of growth,” said Massimo Tosato, executive vice chairman of Schroders. “For over 200 years, Schroders has been at the forefront of innovation and this financial investment in an innovative and rapidly growing on-line wealth management business will allow us to engage in the digital changes that are influencing the asset management industry for years to come,” he added.
“Nutmeg is changing the world of investing – we are giving customers what they really need – and this significant backing endorses the fact we’re on the right track,” said Nutmeg’s Hungerford.
