Other new investors in the round include Carphone Warehouse founder Charles Dunstone, asset management firm Schroders and entrepreneur Michael Spencer.
Balderton has previously backed businesses including LoveFilm, Betfair and The Hut Group.
Nutmeg has attempted to transform the wealth management industry by offering sophisticated portfolio management to anyone with as little as £1,000 to invest.
The company has grown to more than 35,000 registered users since it was founded in 2012, and said its customer acquisition was up 350 per cent in the first quarter compared to the same period last year.
Charles Dunstone, who is a Nutmeg customer, said, “I invest in fast growing, sustainable companies that are fulfilling a clear consumer need.
“Nutmeg ticks all those boxes and more. Nutmeg is demonstrably changing the face of wealth management.
“They have a strong proposition, provide exceptional user experience and I’m thrilled to be part of Nutmeg’s exciting future.”
Balderton general partner Tim Bunting added, “We love Nutmeg because they have taken the complex and often opaque area of wealth management and made it straightforward and transparent for consumers.
“Nick Hungerford and the Nutmeg team are passionate about making top quality wealth management available to everyone, not just the wealthy.
“They are the first mover in this area and have grown very fast over the last 12 months to become a strong and trusted brand.”
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