Bengaluru-based wealthtech startup secures fresh funding to scale digital fixed-income investments
Stable Money Secures $20 Million in Latest Funding Round
Stable Money, a Bengaluru-based wealthtech platform, has raised $20 million in a funding round led by Fundamentum Partnership. Existing investors such as Z47, RTP Global, and Lightspeed Ventures participated, alongside new investor Aditya Birla Ventures. This round follows previous fundraising efforts where the company raised $20 million across Seed and Series A rounds, bringing total funding to $40 million.
Focus on Digital Fixed-Return Investment Products
Founded in 2022 by Saurabh Jain and Harish Reddy, Stable Money provides a digital platform enabling retail investors to access fixed-return products like fixed deposits (FDs), recurring deposits, secured credit cards, and bonds. The company currently partners with eight banks and two non-banking financial companies (NBFCs), including IndusInd Bank, South Indian Bank, Slice Small Finance Bank, Ujjivan Small Finance Bank, Unity Small Finance Bank, and Suryoday Small Finance Bank.
With over 150,000 users and assets under management exceeding Rs 3,000 crore, Stable Money is establishing itself as a significant player in India’s fixed-income wealthtech sector.
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Strategic Use of Funds to Expand Product Suite and Partnerships
The proceeds from the raised capital will assist Stable Money in developing its product range, onboarding more banking and NBFC partners, and expanding distribution. The company aims to add at least eight neobanks and NBFCs and plans to build more fixed-return investment products for retail investors.
This growth is good timing considering the increased demand for digital wealth management solutions across the whole of India, particularly from risk-averse investors pursuing steady and predictable returns.
Growing Demand for Fixed-Income Products in India
India’s fixed-income market continues to attract retail investors who prefer the stability of guaranteed returns over volatile equity markets. As per data from the Reserve Bank of India (RBI) and industry reports, digital adoption of financial products, including fixed deposits, is increasing rapidly due to smartphone penetration and greater internet access.
Platforms like Stable Money democratize access to these products by simplifying investment processes and making them more transparent and accessible to a wider audience.
Financial Overview and Growth Prospects
Stable Money reported operating income of Rs 35.3 lakh and a net loss of Rs 12.29 crore for the fiscal year ended March 2024, while still in its early growth stage, emphasizing platform development and customer acquisition. A fintech startup heavily focused on growing the platform rather than looking for short-term profitability is actually a very typical stage for any fintech startup.
With the latest funding, the company aims to accelerate growth, improve product offerings, and move toward profitability in the next few years.
Strong Investor Backing and Market Confidence
Fundamentum Partnership’s involvement – as lead investor – shows confidence in Stable Money’s vision of changing the fixed-income investment space in India. The involvement of Aditya Birla Ventures brings further strategic support from one of India’s largest business houses and increases the company’s credibility.
The continued support from investors like Z47, RTP Global, and Lightspeed reflects sustained belief in Stable Money’s potential to disrupt traditional fixed-return markets.
Positioning for the Future of Wealthtech in India
Stable Money targets conservative investors seeking secure, fixed returns through products like fixed deposits and bonds. Partnering with small finance banks and NBFCs serving underserved communities, the company promotes financial inclusion by expanding access to formal investments. As India’s fintech ecosystem grows, Stable Money’s digital platform simplifies investing in fixed-income products. With plans to broaden offerings and partnerships, the company is poised to lead India’s digital fixed-income wealth management, helping investors achieve stable and predictable financial growth.
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