Grab acquires Singapore robo-advisory startup to expand financial services

Southeast Asian tech giant Grab announced it has acquired Bento Invest, a Singapore-based robo-advisory startup, to offer retail wealth management and investment solutions to users, driver-partners, and merchant-partners across the region.

Financial details of the deal were not disclosed.

Photo credit: Tech in Asia

As part of the deal, Bento will be rebranded as GrabInvest, a new core business under Grab’s financial services arm, Grab Financial Group. Grab Financial’s current offerings include GrabPay, GrabRewards, GrabFinance, and GrabInsure.

GrabInvest is set to launch products on the Grab app in the first half of the year, with Singapore as its first market. It will operate under the Monetary Authority of Singapore’s Retail Licensed Fund Management Company license.

“As we face an increasingly volatile and uncertain economic environment, it is imperative for Southeast Asians to acquire the tools and knowledge to protect their future by sustainably building wealth for themselves and their families,” said Grab Financial senior managing director Reuben Lai.

“The launch of GrabInvest brings us a step closer to democratizing access to affordable financial solutions that will help them achieve the financial stability they need well into their retirement years.”

Founded in 2016, Bento offers a platform built for banks, wealth managers, and brokers to urge clients to invest regularly. Its proprietary digital wealth platform includes client onboarding and portfolio construction and rebalancing, supported by robust risk management capabilities.

Its founder, Chandrima Das, has over two decades of leadership experience in financial institutions across Asia and the UK. She previously served as managing director at Bank of Singapore and as CEO of ING Investment Management.

See also: Why a merger between Grab and Gojek makes sense

GrabInvest’s launch follows a string of developments that set up a productive start of the year for the ride-hailing giant in terms of expansion.

Grab and Singapore communications group Singtel recently announced their bid to apply for a digital full bank license in Singapore. The digital bank will cater to the financial needs of digital-first consumers who are seeking more convenient and more personalized financial services, as well as small and medium-sized enterprises that face a lack of access to credit.

To scale its mobility services, Grab and South Korean automaker Hyundai last week officially introduced GrabCar Elektrik, Grab’s electric vehicle service in Jakarta after a pilot late last year. The startup also recently launched a six-month pilot of its on-demand motorcycle service in the Klang Valley in Malaysia.

On the food delivery front, Grab recently opened its first cloud kitchen in Singapore as part of its 2020 expansion strategy for GrabFood.