AlgoBulls, an India-based fully automated algorithmic trading platform and fixed-income securities distribution platform for retail market participants, has raised $2 million investment in a Pre-Series A round funding led by Venture Catalysts group, India’s integrated incubator and a leading early-stage investment platform for startups.
AlgoBulls said in a statement the round also saw participation from Indian financial giant DSP Group, Findoc Finvest by Hemant Sood and Nitin Shahi, LetsVenture, Dishant Milan Parikh from Jainam Broking, Yuvraj Thakker from BP Wealth & Fort Capital, Sharath Kumar (former Managing Director and Chief Executive Officer of India, Tower Research Capital), among other funds and family offices.
“We firmly believe that our strategic investors…will help us in understanding the retail user behaviour and its adoption at the last mile. This would help us in improvising the user journey along with its life cycle,” said AlgoBulls Chief Executive Officer and Founder Pushpak Dagade.
According to him, the firm would use the current fundraise to significantly invest in its products and technology and continue on its journey to make them world-class, yet accessible to retail.
“Also, the current fundraise will help us to onboard new experienced traders as strategists, integrate deeply with more broking houses and expand into the international markets,” he said.
As a part of alternate channel sales, he said the firm will also be targeting large corporate treasuries, fund houses, large funded startups, family offices, prop-desks to manage their liquid funds through fixed-income products.
“It is our strong belief that the growth prospectus is immense in the near future. Through the association of all our strategic investors and funds, AlgoBulls will be able to capitalize on huge market opportunities as well as revolutionize the investment and trading space,” he added.
Founded by Pushpak Dagade, Suraj Bathija (Chief Strategy Officer) and Jimmit Patel (Chief Operating Officer) in 2019, AlgoBulls is a state-of-the-art trading platform for retail investors, based in Mumbai, Maharashtra.
Powered by its integration with over 35+ major broking houses with access to exchanges such as NSE, BSE, MCX, Nasdaq and NYSE, AlgoBulls’ algorithmic trading products are accessible for more than 55 percent of India’s demat account holders.
Also, AlgoBulls has the capability to deliver Fixed Income products, including government securities (G-Secs), in any demat account across any of the 3000+ broking houses in India.
Acquired organically, AlgoBulls has more than 25,000 clients till date. Its products include algorithmic trading for retail through ready-to-deploy strategies generated by combining smart, artificial intelligence (AI)-driven technology and trading expertise.
It also allows users to build their own strategies via its platform, and even provides them with an opportunity to monetise their expertise.
“The breakthrough facilitated by the advancements in technology are disrupting traditional trading, and AlgoBulls leads this revolution with innovative solutions powered by cutting-edge technology and AI,
“It brings us immense pride to have led this funding round, and we aim to make the most out of this collaboration to capitalize on future opportunities,” said Apoorva Ranjan Sharma, Founder of Venture Catalysts.
According to the statement, profitable trading in capital markets is impeded due to the lack of credible knowledge, inconsistencies, delays and a general shortage of time for trading, owing to their elusive, complex and volatile nature.
In such a market, by leveraging cutting-edge technology and ready-to-use prop desk strategies, AlgoBulls is democratising algorithmic trading, making it accessible to everyone.
The algorithmic trading market size is expected to grow at a compound annual growth rate of 11.1 percent, from $11.1 billion in 2018 to $18.8 billion by 2024.
AlgoBulls enables mass-market investors to access sophisticated, institutional-style trading strategies crafted by fund managers and professionals.
It is also noted that AlgoBulls offers fixed-income securities with returns ranging from 7 percent to 14 percent per annum for retail in a fixed income marketplace, focusing on capital and income preservation through investing in bonds, non-convertible debentures (NCDs) and G-Secs for new entrants from retail.
Displaying a range of Bonds/NCDs/G-Secs to choose from, and enabling quick settlements on the tech-driven platform, AlgoBulls allows users to start investing from as low as INR 1,000 ($12.14).