Zurich-headquartered Avaloq is launching a venture capital funding arm to invest in the fintech sector.
Through dedicated funding and co-innovation within the Avaloq Community, banks and wealth managers will be able to innovate even faster and provide new services to their customers in an efficient and secure way. Alreadt, more than 1,300 third-party fintech developers work with Avaloq and over 90 thirds-party fintech solutions are available on Avaloq’s market place.
Going forward, Avaloq Ventures will leverage the successful track record that Avaloq has in investing and co-innovation. In April this year, for instance, the firm acquired a 10% stake in Metaco, a Lausanne-based blockchain and crypto-currency specialist. In the future, Avaloq will continue to identify potential M&A deals at a group level while facilitating fintech funding through Avaloq Ventures.
Avaloq Ventures will look to partner with third-party investors such as banks, wealth and asset managers, and established fintech companies in providing capital. The size of funding will be decided on a case-by-case basis.
It will be led by Minho Roth, an alternative investments and fintech entrepreneur with extensive experience in investment and capital raising for technology start-ups. Roth has worked for FiveT Capital AG and Baader Bank AG among others. Francisco Fernandez, founder and group chairman at Avaloq, will join as Chairman.
Other board members include Lex Fenwick, previously CEO of Bloomberg and Dow Jones; Philipp Sandner, head of the Frankfurt School Blockchain Center; and James Stickland, previously director of Innovation & Investments at HSBC and part of JP Morgan Chase’s CIO office.