Performativ, a fintech startup based in Copenhagen, has secured a whopping €5.5 million in a Seed funding round. The investment is aimed at boosting the company’s growth, expanding its offerings, and increasing its client base.
The Seed round of €5.5 million was spearheaded by FinTech Collective. Previously, the company raised $700,000 in a Pre Seed round led by Denmark’s VF Venture, a part of the Danish Growth Fund (Vækstfonden).
The financial industry is facing challenges with outdated systems and technology. A Microsoft survey revealed that one-fifth of CEE financial institutions have not yet addressed the struggle of traditional banks and financial institutions to keep up with today’s digital-first world. Only about one-third of them have dedicated teams working on this issue.
Legacy systems, dating back to the 1980s through the early 2000s, are exacerbating the problem. The banking industry alone spends over $200 billion on technology, with 85 percent of this budget allocated to infrastructure maintenance and regulatory updates. This issue affects around 24,000 firms across Europe, from large banks to boutique wealth managers, leading to significant financial challenges.
Performativ aims to assist financial service players, both large and small, by offering a range of front, middle, and back office tools and optimizations to ensure a scalable infrastructure for the future. Leveraging their experiences at Goldman Sachs and BlackRock, Performativ founders Albert Geisler Fox (CEO) and Peter Barry (CTO) claim that their solutions can reduce clients’ onboarding time by 200 percent compared to industry averages and cut operational costs by up to 70 percent once onboarded.
Albert Geisler Fox stated, “We’re not just navigating the wealth management landscape; we’re charting a new course. Our commitment is to understand the industry’s pain points and bridge the gap. This funding is a testament to our unwavering dedication to empowering financial institutions and wealth managers with the tools they need to thrive in a rapidly evolving landscape.”
Performativ currently manages over €20 billion in assets, including accounts custodied across various tax regimes, with a portfolio spanning from listed equities to private equity, real estate, infrastructure assets, and more.
Lead image: The Performativ management team. Photo: Uncredited.
+ There are no comments
Add yours