Smallcase raises $50 Mn in Series D funding round led by Elev8

Wealthtech start-up Smallcase has raised $50 million in a Series D funding round led by Elev8 Venture Partners. The round also saw participation from State Street Global Advisors, Niveshaay AIF, Faering Capital, and Arkam Ventures.

The capital raised will be used to expand Smallcase’s investment product offerings across asset classes — mutual funds, fixed income, and other asset classes and strengthen its relationships with retail investors and ecosystem partners.

Vasanth Kamath, co-founder & CEO, Smallcase, said, “Smallcase’s vision has always been to build simple and transparent products that are relevant for every investor’s portfolio. The opportunity to help millions of Indians design better financial futures is one of huge responsibility, and we will continue to deliver on it with honesty and integrity along with our partners. I am delighted to welcome our new shareholders who believe in our mission and are grateful to our existing investors for their trust and conviction.”

Founded in 2016, Smallcase operates a model portfolios platform, allowing investors to buy curated baskets of stocks and exchange traded funds (ETFs). The platform has facilitated over ₹1.2 lakh crore in transactions and serves more than 10 million users.

The company expects to turn profitable in the current year as it eyes more growth in the amount transacted on the platform, its Founder and Chief Executive Officer, Vasanth Kamath, told businessline, in an earlier interaction.

In 2023, Smallcase partnered with Zerodha to launch an asset management company focused on index funds and ETFs.

Founded in 2016 by Kamath, Anugrah Shrivastava, and Rohan Gupta, Smallcase aims to simplify stock investing for retail investors through professionally managed model portfolios. In 2021, Smallcase raised $40 million in its series C round led by Faering Capital with participation from Amazon and billionaire Azim Premji’s Premji Invest.

This investment marks Elev8 Venture Partners’ third major deal. “At Elev8, we believe in backing companies that are not just growing fast but are also shaping industries. Smallcase fits that vision perfectly, and we are excited to support them as they expand their offerings and reach millions more investors,” Navin Honagudi, managing director and founding general partner at Elev8 Venture Partners.