Robo-advisor mutual fund investment app Bibit raised $30 million in a Series A led by Sequoia Capital India. The funding round was also participated by previous investors EV Growth, AC Ventures, East Ventures, and the global early-stage venture fund 500 Startups.

The new funding round is the first significant new capital infusion for Bibit since it closed its Series A in 2019. It has raised the company’s total funding to $45 million. The company plans to use this new investment for the expansion of its FinTech services that allow more people to invest in capital markets especially in view of the encouraging developments in Indonesia’s retail investment sector.

Recent data from Indonesia’s Stock Exchange and Central Custodian reveal that the country’s number of retail investors had grown by a staggering 56 percent in 2020, year-on-year. This growth is primarily attributed to the involvement of millennial investors, who reportedly constitute 92 percent of the new investors in 2020.

In a statement released on Tuesday, Sigit Kouwagam, Bibit’s Chief Executive Officer, said that the company has grown considerably since it was launched. The app saw a record of more than a million first time investor signups in 2020.

Despite the rapid growth in retail investment experienced by Bibit, government data show that less than 2 percent of Indonesians are involved in the capital markets. Bibit is at the forefront of helping more Indonesians participate in the stock market.

“We believe that all Indonesians deserve a better future. Enabling people to participate in the capital market and helping them make the right investment is the way to achieve that,” Sigit said in his statement.

Bibit’s CEO added that their partnership with Sequoia Capital India will be advantageous as it hastens the firm’s progress towards helping more people invest in the capital markets and in choosing the right investments. Bibit’s Robo Advisor feature, Sigit explained, helps investors in building their portfolios based on their specific risk profile and investment goals. It simplifies the investing process by addressing the needs and concerns of new investors.

Sequoia India’s Vice-President Rohit Agarwal lauds Bibit for its role in helping investors in Indonesia. “Bibit has become the most trusted platform for millions of consumers with its well-balanced portfolio that offers the best risk-adjusted returns. We are excited about Bibit’s potential to help every Indonesian achieve their financial goals,” Agarwal said.

Agarwal pointed out that there is a trend of consumers across the world to move their savings from low-yield assets to financial products with higher yields. Bibit is in an excellent position to help people in pursuing this investment approach.

On the other hand, Willson Cuaca, Managing Partner at East Ventures, noted that the pandemic has created a positive impact on Bibit and its parent company Stockbit. He said the company saw rapid growth because of retail investors who brought in ten times more transactions in 2020.

“This new funding round will push Stockbit to grow further and cement its position as the leading investment platform in Indonesia,” Cuaca said.

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