SG's Arta Finance emerges from stealth; raises $90m from Sequoia India, Eric Schmidt, others

SG's Arta Finance emerges from stealth; raises $90m from Sequoia India, Eric Schmidt, others

Arta Finance.

Singapore-based Arta Finance, which describes itself as a “digital family office”, announced on Wednesday that it has emerged from stealth mode with the launch of its digital platform.

Arta Finance was established over a year ago as Arbo Works and built by eight co-founders — all former Google executives — who have led and managed major fintech products at Google including Next Billion Users and ChromeOS.

While in stealth mode, the firm raised over $90 million from Sequoia Capital India, Ribbit Capital, Coatue Management, and over 140 prominent angels, according to a statement by the firm.

It counts well-known tech and finance leaders as early angel investors, including names like former Google CEO Eric Schmidt; Betsy Cohen, the founder and former CEO of The Bancorp; and Ram Shriram, a founding board member and one of the first investors in Google.

The service, which aims to democratise the benefits of a family office, will be initially available to accredited investors in the US. The firm is currently registered as an investment advisor with the US Securities Exchange Commission (SEC).

Moving forward, Arta Finance will look into acquiring customers, expanding its alternative asset deal flow, and entering new markets like Singapore and Europe, and will also look into securing relevant licences in key markets globally.

Arta has a global team of 70 people who are based across Singapore and the US.

 

The Singapore-based fintech startup presents itself as a direct-to-consumer (DTC) product that makes alternative assets, which have so far largely been limited to the ultrawealthy, more accessible.

This comprises a group of some 680 million people globally who hold between $100,000- $5 million in liquid assets, but do not have the same level of access to traditional family office (FO) offerings like private equity and credit dealflow. According to Arta, this large, but underserved, market oversees $272 trillion comprising 59% of the world’s combined wealth.

“We believe that a high-powered financial strategy and a secure, happy future shouldn’t be the monopoly of the ultra-rich,” said Caesar Sengupta, CEO and co-founder of Arta Finance.

“Everyone should have a chance to take charge of their financial lives in the same way that wealthier and financially savvier people do. So we’re doing this the way we know best — by breaking down barriers to sophisticated finance with technology,” added Sengupta.

Arta taps artificial intelligence (AI) and quant trading strategies to offer a simpler and more flexible solution for its users to manage their wealth. This applies to users building a public market portfolio on Arta, which also offers greater personalisation and control to investors.

“What excites us about Arta is the depth of understanding of two critical lines. The first one is the complexity in financial services and the need to have more transparent access to the information that will allow you to make better decisions,” said Micky Malka, Founder, Ribbit Capital.

“Second is the automation of it by using the best technology around. At Arta, we find the best of the two. They understand the consumer, they understand the pain, and they have the experience of working with the best technology. We’re excited to see how they can influence and change how everyone thinks about their capital and assets.”

Over the last year, Arta Finance acquired MoneyMinx.com, a financial aggregator and dashboard with a presence in Europe and the US. It also set up the Arta Foundation with 2% of its founding equity, and received capital from major luminaries.

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