Robo adviser Syfe raises US$27 million from funds, family offices for Hong Kong expansion
- More wealthy family offices are expected to finance start-ups in their efforts to capture the growth potential in Hong Kong, analysts say
The cash came from two undisclosed UK-based family offices, according to a statement on Wednesday. Other financiers included earlier-round investors such as London-based Unbound and US-based Valar Ventures. Syfe has now raised HK$615 million since its inception in 2019.
The expansion is an important step for Syfe to broaden its services in the Asia-Pacific market, which accounts for one-third of the US$270 billion mass affluent market and is the fastest growing region worldwide, founder and CEO Dhruv Arora said. The capital will be used to introduce more products in its line-up.
“In Hong Kong, 55 per cent of adults are in the mass affluent category, typically defined as investible assets between US$100,000 and US$1 million,” he said in a Post interview. “This makes Hong Kong an outstanding opportunity.” The new funding will accelerate development and help Syfe offer more innovative new products to investors, he added.
A robo adviser is an online platform that provides automated financial planning and investment guidance to customers with no human involvement. It uses algorithms and artificial intelligence to match available products and services with users’ needs.
The funding in Hong Kong underscores the city’s drive to become a key destination in the region for capital from global family offices, according to analysts. Over the past two years, the government has dangled tax breaks and an investment migration scheme, among other incentives, to attract wealthy investors amid stiff competition with Singapore.
