Invacia Labs Pvt Ltd, which operates automated investment application Stack, has raised $4.5 million in its Seed funding round led by YCombinator, Harvard Management, Goodwater Capital, Soma Capital, Uncommon Capital and Earlsfield Capital, the company said in a statement on Thursday.
Other investors, including Magic Fund, Side Door Ventures, Dragon Capital, Emles Ventures, Grand Park Ventures, Chandaria Capital, Cleo Capital, AngelList, West Quad, and Olive Tree Capital, also participated in the funding round. Angel investors Paul Desmarais III of Portage Ventures, Tanuj Shori, Chief Executive Officer, Squareyards and Inmad Akhund, Chief Executive Officer, Mercury Bank also invested in this funding round, the statement said.
The company said that the startup would be using the funds to expand its current team and enable more features to help users invest and earn better returns, the company said. The Bengaluru-based fintech firm said that it had recently launched its application on Google Paystore, which provides customised investing solutions to users.
Founded in 2021 by Smriti Tomar and Tushar Vyas, with founding team Vidit Varshney and Yashwarshan Puranik, the platform enables everyday retailers to invest using its autopilot technology. Stack builds tailored investment strategies with globally diversified portfolios for everyday investors, according to their risk appetite and goals, the company said.
Users just have to answer a few questions, and the app suggests a suitable investment portfolio with the help of its algorithm and AI (artificial intelligence)-driven portfolio allocation strategy known as ‘Smart Stack Approach,’ the company said.
Stack said that it aims to make investing easy where users can build a custom plan for themselves, according to their risk appetite and goals, to make a balanced and globally diversified portfolio which automatically gets rebalanced and adjusted over the time.
“Everyday investors are stuck with friends’ advice and archaic platform experiences without even realising it. Stack sets out to finally give the best investing experience to everyone, with a transparent approach while educating our users on how to make their money work instead of being a black box,” said Smriti Tomar, Co-founder and Chief Executive Officer, Stack.
“We believe that India with its young and millennial-led population is witnessing a rapid shift towards a financial assets focused investment strategy. With over 700 million active mobile internet users who are transacting on various platforms, there is a large market available for distribution of new-age financial products,” said Aakash Agarwal, Junior Partner, Earlsfield Capital.
In November, another investment advisory platform Stratzy, operated by Stratzy Fintech Pvt Ltd, had raised $800,000 in a pre-seed funding round from Leo Capital, Titan Capital and First Cheque.
