ScalingFunds, a fund management software provider for alternative investment funds (AIFs) and special purpose vehicles (SVPs), has received a new investment to accelerate growth plans.
The financing round, led by Finch Capital, comes on the back of traction generated by ScalingFunds over the last 12 months.
ScalingFunds launched in late 2019 and its primary focus is providing fund managers with the right digital tools and legal setup for administering, distributing, and managing AIFs.
This includes asset classes such as real estate, private equity, debt, and infrastructure, ScalingFunds explained.
Despite COVID-19, ScalingFunds said it has signed more than €1 billion of fund volume to transact on its alternative investment platform.
As a spin-off from real estate tokenisation pioneer Brickblock, the former German subsidiary has completed its rebrand into ScalingFunds GmbH and continues building out its alternative investment platform.
Jakob Drzazga, CEO of ScalingFunds, commented: “We are very proud fund managers and investors trust ScalingFunds to provide an easier way to the rather complicated world of AIFs.”
“AIFs have seen a steep growth rate in the last decade growing from a €2 trillion to a €6 trillion market in Europe alone, making it necessary to upgrade the paper-based administration to keep up with the growing transaction volume.”
“We see growing interest in our software from fund managers and transfer agents who are looking to benefit from direct-to-customer distributions, real-time secondary market transactions, and streamlined fund administration capabilities,” added Drzazga.
The ScalingFunds financing round is the latest in a growing number of investments in the asset servicing industry.
The latest investments include Natixis and Clearstream into UCITS-focused FundsDLT, and Goldman Sachs into US-based AIF-focused iCapital.
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