In a strategic move to address the investment inactivity across Europe, Milan-based fintech company Finanz has successfully raised €700,000 in a pre-seed all-equity round. This financial injection was backed by notable business angels and leading figures from renowned financial institutions such as Amazon (NASDAQ:AMZN), Amundi, Rothschild & Co, and Fundsgate. The company, established with the mission of democratizing financial education, seeks to transform financial literacy and investment habits by providing a simple yet effective five-minute-a-day guided investment journey via its app. This initiative looks to make finance accessible, starting from high school education up to household management.
Why Is Europe Not Investing?
Staggering statistics reveal that roughly €10 trillion remains idle in European current accounts, with approximately 335 million citizens refraining from investing due to a lack of financial knowledge. Finanz aims to shift these numbers by harnessing technology to empower individuals with the confidence to manage their savings effectively. This vision is deeply rooted in its educational outreach, which initially engaged Italian students through over 100 assemblies in a bid to instill a strong financial foundation from a young age.
What Are the Future Plans for Finanz?
The funds raised are intended to enhance Finanz’s operations within Italy, scale up its user base beyond 100,000, and foster accelerated development of their platform. The company’s young team, with an average age of 23, plans to scale its efforts by recruiting talents in technology, product development, and design. This growth strategy will further support Finanz’s commitment to positioning themselves as leaders in the European market for financial education and management.
Lorenzo Perotta, CEO of Finanz, emphasizes the company’s goal of addressing widespread financial inexperience.
“We started by bringing financial education into Italian schools, organising over 100 assemblies for students and teachers. Today, we want to directly address a problem that affects millions of Europeans, not just the younger generations, by helping everyone learn how to save and invest, one step at a time,”
he noted, highlighting the broader impact of Finanz beyond educational contexts.
Compared to its inception, Finanz’s recent achievements depict a shift from educational assemblies to a comprehensive app model that allows broader demographic engagement. The earlier approach was more localized to Italian schools, whereas the current trajectory involves a strategic expansion throughout Europe, leveraging fintech advances to connect with a diverse user base and simplify investment processes.
Finanz’s commitment to bridging the financial literacy gap reflects a substantial market demand for innovative investment guidance platforms. The fintech’s approach integrates educational outreach with practical, user-friendly app solutions, catering to both novice and seasoned aspiring investors. This methodology underscores the broader movement toward digital financial literacy, emphasizing the need for accessible and effective investment education tools within today’s rapidly evolving financial landscape.
