Mumbai-based automated wealth management startup Cube Wealth has raised around ₹14.6 crores in series A funding. The investors that participated in the round include Singapore-based Beenext, Japan-based Asuka Holding, and Silicon Valley-based 500 Startups.
The funds raised will be used to grow in cities like Mumbai, Delhi-NCR, Bengaluru, Hyderabad, Chennai, Kolkata and Pune, along with expanding footprint across Europe and Japan, targetting non-resident Indians.
Cube Wealth was founded by Citrus Pay founder Satyen Kothari in 2017. The startup offers a wealth management platform, enabling users to manage investment portfolios by providing investment advice from registered advisors, with a target of saving more and creating wealth.
Satyen Kothari, Founder and CEO, Cube Wealth, said, “We are targeting the upper middle class segment of users who have an income of ₹10 lakh per annum and above and want to make financial planning easy and jargon-free.”
The startup follows a subscription-based model, where a user pays an investment advisor, registered with Securities and Exchange Board of India (Sebi) and Reserve Bank of India(RBI), while the platform charges commission on the transaction.
With current employee count of 15, comprising mostly of engineers, the startup is looking to hire more employees, as it plans for expansion while keeping the count below 50.
In May 2017, Cube Wealth raised an undisclosed amount of seed funding from undisclosed investors, according to Crunchbase.
India’s fintech industry is generating a lot of buzz with startups catering to segments of the economy. As the average income of the middle-class Indians rises, the space for the wealth management startups is getting a lot of focus.
Earlier this month, Mobikwik acquired Clearfunds, foraying into the wealth management segment.
Last month, Paytm Money was launched for the public, to expand into the mutual fund investment market in India.
In August 2018, Paytm acquired a wealth tech startup Balance Technology.