Alpha Wave Incubation, Savrola Group Pump $7.5 Mn In Wealth Management Startup Wealthy

Wealth management startup Wealthy has raised $7.5 Mn in its Series A round led by Alpha Wave Incubation (AWI). AWI is backed by ADQ’s venture platform and managed by Alpha Wave Global (formerly known as Falcon Edge Capital).

The round also saw the participation of new investor Savrola Group and existing investors Venture Highway, Good Capital and Emphasis Ventures.

This brings the startup’s total funds raised to $9 Mn in over four rounds, after its seed round of $1.5 Mn in October 2019.

Wealthy plans to use the funds to penetrate deeper into the Indian market as well as expand in international markets including the Middle East.

Founded by Aditya Agarwal and Prashant Gupta in 2016, Wealthy claims to have grown 15X since its last fundraise and currently has an AUM of $450 Mn. It is in the business of decoding wealth creation by offering investment related advice.

It aims to help the users search for the most lucrative investment option by making the whole process personalised. That is, Wealthy facilitates wealth creation by providing investment advice and transaction platforms.

At the juncture of investment and technology, it offers customer-facing advice tools, a paper-less execution platform and internal tools to manage the experience of customers and run the business. It offers basketed portfolios based on the risk the investor is willing to take.

According to an IBEF report, the Indian mutual fund industry has recorded total assets under management (AUM) of the industry at $500 Bn until October 2021. The Indian investment tech market is poised to grow to over $60 Bn by FY25, from its current market size of $20 Bn.

In 2021, fintech startups raised $8 Bn in funding. Out of the total 280 deals reported in fintech, about 19.3% or 54 deals were recorded by the investment tech sector. The sector attracted $1 Bn in funding.

Leading charge of the wealth management within the country are players such as Groww, Zerodha, Paytm Money, Upstox, ETMONEY, Amazon-backed smallcase and other traditional brokerage and investment firms.