Alpaca, a self-clearing broker-dealer and brokerage infrastructure API, announced its intended acquisition of WealthKernel, a wealthtech firm specializing in digital investment infrastructure and tax-advantaged products.
This strategic acquisition will bring WealthKernel’s UK and EU licensed brokerage infrastructure to Alpaca, “supporting their global expansion to achieve its mission of opening financial services to everyone on the planet.”
Yoshi Yokokawa, CEO of Alpaca
“The acquisition of WealthKernel is a major step for Alpaca in becoming a truly global brokerage infrastructure. WealthKernel has gained a highly regarded reputation in the UK and EU through working closely with a number of financial institutions. With WealthKernel joining us, we’re directly entering the UK and EU, enhancing our support of global institutions that desire regulated investing across borders.”
WealthKernel brings wealth management capabilities, “including Individual Savings Account (ISAs), Self-Invested Personal Pension (SIPPs), and other tax-advantaged accounts, complementing Alpaca’s trading infrastructure.”
Alpaca, which has long “supported their UK and EU partners, now gains the ability to act as a fully authorized broker-dealer through WealthKernel’s licenses.”
Karan Shanmugarajah, CEO of WealthKernel, said that joining forces with Alpaca will allow them to scale faster, while they bring their regulatory expertise to the firm.
The deal unites a strong team with “expertise in brokerage operations, compliance, and financial technology—leveraging shared tech and compliance frameworks.”
Further strengthening this foundation, Alpaca’s recently appointed CFO, Nadia Asoyan, brings Fintech leadership from prior positions at Robinhood and Square.
The combined organization will “continue global operations, with key hubs in North America, Europe, and Asia.”
This intended acquisition reinforces Alpaca’s position as “a full-stack, global brokerage infrastructure provider, enabling brokers, banks, and fintechs to launch trading, custody, and wealth products quickly, compliantly, and at scale.”
Earlier this year, Kraken partnered with Alpaca to “deliver commission-free US equities trading to their US clients and joined as one of their 200+ global partners.”
Completion of the acquisition remains “subject to regulatory approval from the UK Financial Conduct Authority and the Spanish Comisión Nacional del Mercado de Valores.”
As noted in the update, Alpaca is “a US-headquartered self-clearing broker-dealer and brokerage infrastructure for stocks, ETFs, options, crypto, fixed income, and 24/5 trading – raising over USD170 million in funding.”
Alpaca is backed by investors globally, “including Portage Ventures, Spark Capital, Tribe Capital, Social Leverage, Horizons Ventures, Unbound, SBI Group, Derayah Financial, Elefund, and Y Combinator.”
As mentioned in the announcement, WealthKernel provides “investment and savings infrastructure for regulated businesses in the UK and EU.”
