Plaid acquires Quovo, eying move into brokerage and investment data
- Competition is growing in the data aggregation market.
- After a large investment, Plaid buys a competitor.
What’s happening: The data aggregation businesses is getting increasingly competitive. Enabling the sharing of financial data across firms and applications is the data aggregation industry.
Plaid, a popular data agg firm among technologists, raised $250 million in December in an investment round that valued the firm at $2.65 billion.
Why Quovo: There are a variety of players seriously competing for the data aggregation market, including Plaid, Quovo, Finicity, and Yodlee..
Quovo specializes in providing aggregated data to the investment and brokerage industry and cites Betterment, Wealthfront and SoFi as clients, as well as more established names in wealth management, like Stifel, Vanguard, and John Hancock.
Quovo gives Plaid a foothold in this sector.