Singapore startup Kristal.AI banks $6m to expand into APAC, Middle East

Singapore-based digital wealth management platform Kristal.AI has secured US$6 million in a series A round led by India’s Chiratae Ventures and other influential names such as the Desai Family Office.

The round, which brings the startup’s total raised capital to US$11 million, also included participation from high-net-worth individuals who are well-known in the financial industry, according to a statement.

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Founded in 2016 by Indian entrepreneurs Asheesh Chanda and Vineeth Narasimhan, the startup uses a patented genetic algorithm to recommend and create personalized portfolios for its users.

It plans to use the new funds to bolster its back-end technology, craft more curated strategies (which it calls “Kristals”), and expand further into the Asia-Pacific and Middle East markets. In the near future, it also looks to launch a new offering for its Indian markets.

Since its official launch, the startup claims it has experienced consistent growth, currently handling over US$100 million in assets under management for over 10,000 users on its platform. Kristal also said its custom-crafted strategies have provided consistent returns to investors. Both its investment products – Leveraged Bond Kristal, which invests in fixed-income instruments issued by corporate and sovereign issuers, and Singapore REITs Kristal – achieved around 14% returns historically.

The company is currently operating in Singapore with a Capital Markets Services license issued by the Monetary Authority of Singapore. In Hong Kong, it is under Type 4 (advising on securities) and Type 9 (asset management) licensing provided by the Securities and Futures Commission. It also has a license in India, which was approved by the country’s Securities and Exchange Board.

In 2018, the startup raised over US$1.8 million in a seed round which was also led by Chiratae Ventures (then known as IDG Ventures India). It planned to use the funds to develop its AI technology and expand into markets in Southeast Asia, the Middle East, and the US.