Adrian Johnson
TLDR:
- AI-powered accounting startup, FundGuard, raises $100 million in a funding round led by Key1 Capital and new investors.
- The company plans to use the investment to further develop its AI capabilities for investment accounting and expand its customer base.
Key Elements:
Artificial intelligence is disrupting the financial services industry, and FundGuard, a New York-based AI-powered investment accounting platform for asset managers, recently secured a $100 million funding round. The funding was led by Key1 Capital and included new investors like Euclidean Capital and funds managed by Hamilton Lane, as well as existing strategic investors and previous backers such as Blumberg Capital and Team8. FundGuard, founded in 2018, has now raised over $150 million, with the latest round raising its valuation to up to $400 million.
FundGuard uses AI to streamline investment accounting operations and workflows, with offices in multiple locations including New York, Boston, London, Toronto, and Tel Aviv. The company plans to utilize the new funding to invest in product innovation and customer acquisition. This funding round is part of a trend where AI startups are modernizing various sectors, with startups in this space raising a total of $10.3 billion in the first quarter of 2024 according to Crunchbase data.
Related reading: Eye On AI: Startups Should Heed ‘AI-Washing’ Warnings
