Fincite and Harvest Join Forces: A New Era in European WealthTech Innovation
In a significant development in the European WealthTech sector, two leading firms, Fincite from Germany and Harvest from France, have officially merged to establish a new leader in wealth management software. This strategic partnership is backed by prominent private equity investors, TA Associates and Montagu, with ambitions to expand their market reach and drive growth through acquisitions.
Creating a Pan-European WealthTech Leader
The newly formed entity will operate under the Harvest Group umbrella, aiming to consolidate the fragmented WealthTech landscape and enhance their service offerings across Europe. Both Fincite and Harvest have developed robust B2B platforms that empower financial institutions to deliver customized and efficient investment solutions.
Comprehensive Wealth Management Solutions
The software solutions provided by both companies encompass the entire investment value chain, featuring:
- Onboarding
- KYC/AML compliance
- Advisory services
- Execution capabilities
- Reporting functionalities
By joining forces, Fincite and Harvest plan to offer more integrated and sophisticated solutions tailored to meet the evolving needs of banks and financial firms throughout Europe.
Addressing Industry Challenges
According to Ralf Heim, co-founder and co-CEO of Fincite, the financial sector is currently grappling with outdated software systems. He emphasized, “Today, banks struggle with fragmented and often outdated software systems. We are talking about legacy solutions that are 25 years old or more.”
He added that there is a growing demand for fewer but stronger partners who can deliver cohesive WealthTech solutions from a single source. The merger with Harvest aims to fulfill this critical need on a broader European scale.
Growth Trajectory and Market Expansion
The merger is anticipated to accelerate the growth of the Harvest Group, with a goal to double revenues within the next four years. Key markets identified for expansion include:
- DACH Region
- France
- Benelux
- Italy
- Northern Europe
This strategic growth will be supported by targeted acquisitions aimed at enhancing product capabilities and entering new markets, positioning the combined entity as the preferred choice for wealth management technology.
Commitment to Innovation and Customer Satisfaction
Virginie Fauvel, CEO of Harvest, remarked, “We are witnessing an ongoing wave of modernization in financial institutions. Banks must offer a seamless digital experience, akin to standards set in retail banking.” She expressed confidence that the collaboration with Fincite would unlock synergies and elevate wealth management solutions to unprecedented heights.
Independent Operations with Strategic Leadership
Despite the merger, both brands will continue to operate independently, maintaining their existing teams and offices. Ralf Heim is set to join the Harvest Group board while retaining his role at Fincite. He will collaborate with co-founders Friedhelm A. Schmitt and Stefan Post, as well as managing director Paul Kammerer, to guide the next phase of growth.
This merger signifies a pivotal moment in the WealthTech industry, marking the beginning of a robust European group dedicated to development, innovation, and customer satisfaction. For more information on WealthTech trends, visit Forbes.
