Investment Tech Startup Algobulls Raises Funding From Venture Catalyst, Others

AI-based investment tech startup Algobulls has raised $2 Mn in Pre-Series A funding round from existing investor Venture Catalysts.

DSP Group, Findoc Finvest, Nitin Shahi from LetsVenture, Dishant Milan Parikh from Jainam Broking, Yuvraj Thakker from BP Wealth & Fort Capital, and Sharath Kumar from Tower Research Capital, among others also have participated in the funding round.

Founded in 2019 by Pushpak Dagade, Suraj Bathija and Jimmit Patel, Algobulls is an automated trading and distribution platform for retail investors. It enables such investors to gain insight and participate in investment categories such as bonds, non-convertible debentures, foreign currencies, RBI G-Sec (government security), and F&O (future and options) trade, among others.

Algobulls has integrated with more than 35 broking firms and has access to stock exchanges including NSE, BSE, MCX, Nasdaq and NYSE.   

“The breakthrough facilitated by the advancements in technology are disrupting traditional trading, and AlgoBulls leads this revolution with innovative solutions powered by cutting-edge technology and AI. It brings us immense pride to have led this funding round,” said Dr Apoorva Ranjan Sharma, founder of Venture Catalysts. 

According to the startup, the algorithmic trading market is expected to grow to $18.8 Bn in 2024, expanding at a CAGR of 11.1% during the forecast period 2018-24.

Explaining the business model the startup said it allows investors to build their own strategies using its platform and also helps them monetise their expertise offerings.

It claims to have more than 25,000 clients to date. Its offerings include algorithmic trading for investors, AI-driven technology and trading expertise. 

“We firmly believe that our strategic investors will help us in understanding the retail user behaviour and its adoption at the last mile. This would help us in improvising the user journey along with its life cycle,” said Pushpak Dagade, CEO and founder, AlgoBulls.

The startup plans using the fresh funds to invest in product offerings and tech infra. It will further deploy capital to onboard experienced traders, integrate with more broking houses and expand into international markets. 

It is also planning to manage liquid funds for large corporate treasuries, fund houses, startups and family offices through its fixed-income products.

In 2020, it raised an undisclosed amount of funding from Venture Catalysts. 

According to an Inc42 report, India’s fintech market is projected to become $2.1 Tn by 2030, expanding at a CAGR of 18% during 2022-30. 

Of this, fintech’s subsector investment tech is likely to become a $74 Bn by 2030, growing at a CAGR of 30% during the forecasted period 2022-30. Kristal.AI, Vested Finance, Zerodha and Groww are a few investment tech startups operating in this space.