Mumbai-based startup aims to revolutionize wealth management for high-net-worth individuals, signaling growing investor confidence in India’s fintech landscape
Introduction:
In a significant development for India’s wealthtech sector, Mumbai-based startup Dezerv has successfully raised $32 million (approximately Rs 265 crore) in a Series B funding round. This substantial investment, led by Premji Invest, comes at a time when many startups are struggling to secure funding, particularly in the wealth management space. The funding round not only bolsters Dezerv’s position in the market but also highlights the growing potential of technology-driven financial services in India.
Founded in 2021 by Sandeep Jethwani and his team, Dezerv has quickly established itself as a innovative player in the wealth management industry. The company combines cutting-edge technology with expert financial advice to offer portfolio management services tailored for high-earning professionals and business owners. This latest funding round brings Dezerv’s total capital raised to date to approximately $60 million, underlining the startup’s rapid growth and investor appeal.
The Series B round saw strong participation from both new and existing investors. Premji Invest, the investment firm of billionaire Azim Premji, led the round with a substantial contribution of Rs 169 crore. Existing backers also showed continued faith in Dezerv’s vision, with Elevation Capital and Matrix Partners each injecting Rs 35 crore, while Accel India, which had led the company’s Series A round, contributed Rs 26 crore.
Sandeep Jethwani, co-founder of Dezerv, expressed enthusiasm about the funding, stating, “This investment will allow us to further develop our technology platform and expand our range of investment strategies. We’re particularly excited about reaching new segments of high-net-worth individuals who are looking for sophisticated wealth management solutions.”
Dezerv’s success in securing this funding is particularly noteworthy given the current challenging environment for startup financing. The company’s ability to raise capital demonstrates investor confidence in its business model and growth potential. It also underscores the resilience of India’s fintech sector, which continues to attract significant investments despite global economic uncertainties.
The startup’s innovative approach to wealth management has already yielded impressive results. Since its inception in April 2021, Dezerv claims to have delivered close to 30% returns to its users. The company currently manages assets worth over Rs 7,000 crore, allocating approximately 75% of clients’ money to equity and equity-oriented products, with the remainder in fixed income and private credit.
In a move to diversify its offerings, Dezerv recently launched its first Rs 500-crore private credit fund of funds, with 20% of the fund already deployed into three funds. This expansion into new investment vehicles demonstrates the company’s commitment to providing a comprehensive range of wealth management solutions.
The success of Dezerv’s funding round has implications for the broader Indian startup ecosystem, particularly in the fintech and wealthtech sectors:
1. Growing investor interest in wealthtech: The significant investment in Dezerv signals that investors see considerable potential in technology-driven wealth management solutions tailored for the Indian market.
2. Validation of the high-net-worth individual segment: The focus on serving affluent clients underscores the growing importance of this demographic in India’s financial landscape.
3. Importance of technology in financial services: Dezerv’s success highlights the crucial role that technology plays in modernizing traditional financial services and creating more efficient, personalized solutions.
4. Resilience of the Indian startup ecosystem: Despite global economic headwinds, promising Indian startups continue to attract substantial funding, indicating the sector’s overall health and potential.
Conclusion:
In conclusion, Dezerv’s successful $32 million Series B funding round marks a significant milestone for the company and the Indian wealthtech sector. As the startup leverages this capital to expand its services and client base, it is poised to play a pivotal role in shaping the future of wealth management in India. The investment not only validates Dezerv’s business model but also reinforces the growing importance of technology-driven financial solutions in catering to India’s evolving wealth management needs.
