London-based Fundment, a financial adviser technology platform, has secured £45M in Series C funding led by Highland Europe, with participation from ETFS Capital. Fundment, founded in 2018, provides an integrated platform to tackle the operational and regulatory challenges financial advisers encounter daily. This funding comes as the company aims to strengthen product development, grow its team, and explore future expansion opportunities. The platform’s user-friendly design and sophisticated investment management tools cater to various financial advisory firms, from sole traders to wealth management companies.
What prompted Highland Europe’s investment?
Highland Europe highlighted the growing demand for modern, scalable technology within the financial advice industry. According to Gajan Rajanathan, General Partner at Highland Europe, the increasing complexity of client expectations and regulatory requirements necessitates platforms like Fundment.
“Fundment offers an easy-to-use, transparent, modern investment platform providing comprehensive access to a suite of investment options,” said Rajanathan.
The firm, which has a history of investing in growth-stage companies across various regions, views this sector as one with strong potential for growth in the coming years.
How does Fundment address industry challenges?
Fundment’s proprietary technology integrates essential platform services such as back-office tools, discretionary investment management, and user-friendly portals. This comprehensive solution helps advisers operate securely while managing investments. The platform also supports tax wrappers and allows firms to create custom APIs, enhancing adaptability. According to founder and CEO Ola Abdul, such features enable advisers to focus more on delivering value to customers.
“For the past six years, we have been building Fundment as the all-in-one tech platform to support a financial advice firm’s every need,” Abdul said.
Looking back at Fundment’s journey, early reports emphasized its goal to alleviate the inefficiencies caused by outdated infrastructure in financial advisory services. Over time, the platform has expanded its capabilities and customer base, now serving over 500 firms and doubling its assets under management annually. This progression reaffirms its strategy of combining regulatory compliance with innovative technology.
The platform supports investments from renowned firms such as Legal & General, BlackRock, and HSBC, offering various financial products like OEICs, Unit Trusts, Investment Trusts, and ETFs. Its robust service portfolio has not only led to profitability but also positioned it as a key player in the UK financial advisory industry. Additionally, Fundment collaborates with local authorities to modernize public sector pension systems, further diversifying its scope.
Fundment is authorized by the Financial Conduct Authority (FCA) and plays an active role in the broader financial ecosystem through its compliance and client-focused approach. As the UK government considers reforms to public pensions, the platform’s adaptability could make it an essential partner for both private and public sector financial services.
The £45M Series C funding will likely accelerate Fundment’s ambitions to innovate further and expand its reach. With its focus on integrating advanced technology with regulatory needs, the company is poised to meet the evolving demands of the financial advisory landscape effectively.
By combining an accessible design with advanced tools, Fundment addresses a critical gap in the market for financial advisers. This approach not only enhances operational efficiency but also enables firms to navigate complex regulatory landscapes. For stakeholders in the financial services sector, such advancements emphasize the increasing importance of technology as a solution for both growth and compliance.
