Israeli fintech company FundGuard has raised a $4 million financing round led by Blumberg Capital and LionBird. FundGuard will use the capital to accelerate the development of its platform and Contingency NAV product as well as to bring operational efficiencies afforded by AI and cloud technologies to market.
With offices in Tel Aviv and New York, FundGuard was founded by CEO Lior Yogev, CTO Yaniv Zecharya and VP R&D Uri Katz. The three men met more than 20 years ago as officers in Israel's Defense Forces' elite intelligence Unit 8200. FundGuard has developed a cloud-based investment funds operating system powered by AI and designed to revolutionize the investment funds technology space, today announced its launch and
FundGuard helps asset managers, custodian banks and fund administrators manage investments across mutual funds, ETFs, separately managed accounts, pension funds as well as insurance. Using machine learning and AI to identify unstructured financial and operational anomalies or potential fraud, the platform provides real-time support while providing insights and recommendations to its customers.
Yogev said, "With continued pressure on management fees driven by the proliferation of ETFs, robo-advisors, 'zero fee' offerings, and frequently changing regulations, the industry is clearly now in need of an operating system that's highly accurate across all asset classes and efficient to operate. Our SaaS platform is built to meet the needs of today's investment industry, designed to support sophisticated trading environments and new technologies such as distributed ledgers. Users will find a modern UX, APIs, plus workflow and collaboration tools that will add tremendous value to their companies and keep them ahead of the competition."
FundGuard's Contingency and Oversight NAV product provides an unparalleled daily-resetting, fully automated operating system at a secondary independent location to enable asset managers to fulfill their fiduciary responsibility for business continuity and for protecting their funds' proprietary and most critical data and valuation during core systems failures and cyberattacks. This solution is designed to efficiently address the systemic risk of long period outages similar to a week-long incident at a large custodian bank that impacted hundreds of mutual funds and exchange-traded funds, damaging their reputations.
Published by Globes, Israel business news - en.globes.co.il - on October 21, 2018
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