visimoney
TLDR:
- Naro, a German fintech startup, raised $3 million in pre-seed funding to boost ETF markets in Europe.
- Naro aims to offer white-label services for various financial institutions to invest in ETF products, taking advantage of the European ETF market’s growth.
Full Article:
Naro, a Cologne-based fintech startup, has raised $3 million in pre-seed funding to offer financial institutions the option to invest in ETF products. Founded in 2022, Naro aims to take advantage of the boom in ETF products in Europe, as the market grew 28% to $1.8 trillion in 2023. The startup plans to offer white-label services to banks, funds, and brokers, providing them with bespoke options at lower fees compared to traditional mutual funds.
Naro’s CEO, Chris Püllen, highlighted the increasing interest from VCs in their business model, emphasizing the need for brokers to monetize their services and build long-term relationships with clients. The startup acts as the technical intermediary between brokers and clients, repackaging offerings from financially regulated brokers and selling them as white-label products to potential customers.
The pre-seed funding round was led by La Famiglia and Discovery Ventures, with investments from Robin Capital, Angel Invest, and various angels. The funding will be used to expand Naro’s team and partner with customers to develop products within their existing infrastructure. As the business plan evolves, the startup focuses on replacing legacy mutual funds and reducing counterparty risk for e-money institutions.
