Ctrl Alt, the B2B solutions provider for alternative assets, has raised £2.2million in a funding round aimed at empowering fintechs and investment platforms to diversify their investment offering beyond stocks and bonds to investments in fractionalised assets such as property and green energy.
The funding round was led by Forward Partners and Middlegame Ventures and also joined by a group of notable angel investors and follow-on funds. These included Enterprise Ireland, Algorand Ventures, 365.fintech, Syndicate Room, Marc Cohen, Omid Ashtari as well as Alex Macdonald.
Established in 2020 by founder Matt Ong (former Morgan Stanley and Credit Suisse), Ctrl Alt offers products including API and white label capabilities designed to provide the infrastructure for investment platforms to access alternative assets within their brand and platform. A move it says could help financial services remain competitive by expanding beyond stocks and bonds to offer alternative forms of investment.
“A culture of exclusivity, overly restrictive entry requirements and archaic processes have meant access to investing in things like property and green energy and more have traditionally been dominated by the super-rich and institutional investors,” said CEO Ong. “A diversified portfolio should play a key role in any investment strategy and it’s not right that alternative assets, a typically robust form of investment, remain in the old world of money.”
Ctrl Alt facilitates the process of capital acquisition for asset owners. The company’s team of financial and technical experts, along with specialised products, efficiently manage the investment side of things. Ong believes this approach will contribute to a broader array of assets entering the market.
Projections
In 2022, the Private Equity Database anticipated a notable 13.3 per cent annual growth in assets under management (AUM). Their projections pointed towards a substantial increase in total alternative assets AUM, poised to reach a substantial $23.3trillion by the conclusion of 2027. This information aligns with findings from the Independent Financial Advisors, indicating that 97 per cent of portfolios had already begun to increase their allocations to alternative investments within the past year.
Furthermore, Ctrl Alt’s observations resonate with the evolving investment landscape, notably among millennial and gen-Z investors. A 2022 study by The Bank of America highlighted a significant shift in sentiment within this demographic.
It also revealed that 75 per cent of investors aged 21 to 42 no longer consider equities and bonds as the sole avenue for achieving above-average returns. Instead, 80 per cent of this group are also turning their attention towards alternative investment options, reflecting a growing appetite for diversity in their portfolios.
Megha Prakash, senior investor at Forward Partners, also commented: “At Forward, we see a massive opportunity to democratise access to financial investments for eligible investors who have hitherto been locked out of these markets due to large tickets, administrative complexity and a lack of access.
“Ctrl Alt promises to broaden access to a large range of investments. With a strong background in structuring financial products and his digital-native, and wealth of experience working in the regulated space, Matt is a great founder to tackle this opportunity and we are excited to be backing him.”