A buzzword in the world of investment currently is micro-investment. The way of enabling newcomers to the investment space to get started with minimal capital commitment has caught the fancy of investors and a number of VCs are pouring money into startups exploring the new trend.
Enter London-based fintech startup Wombat which aims to break down barriers in the investment space. Founded by Kane Harrison in 2017, the fintech is offering a mobile-first fractional micro-investment platform to give everyone the chance to get involved in investing. Enabling a new generation of investors with its platform, the company has now raised over €4.5 million to spread across Europe. It plans to increase investment in marketing and product development post the funding. The Series A round was led by Fuel Ventures and backed by a four-week crowdfunding campaign.
Competing with the likes of Robinhood and Trading 212 to make investment more accessible in the U.K., the fintech company has rolled out an instant investment account that offers commission-free trading and cashback rewards. So how does the platform work? Users can select from a range of themed funds and individual shares to create a personalised portfolio that reflects their interests. They can begin investing in some of the world’s biggest brands for just €10.
Wombat co-founder and CEO Kane Harrison said: “Against a hugely challenging macroeconomic backdrop, we felt it was appropriate to seek funding with a fair valuation and we feel our decision was rewarded with a raise that will help us achieve our immediate goals in terms of growth, expansion into Europe and product development.”