Bibit’s investment round was also joined by Prosus Ventures, Tencent and Harvard Management Company. Existing investors AC Ventures and East Ventures also took part in the round.
Bibit’s management noted that the funds raised will be used to develop new products, enhance technology development, recruit talented professionals, and make significant investments to support ﬁnancial education and also help with further improving its platform.
Established in 2019, Bibit is a mutual fund Robo-advisory service that assists investors with maintaining portfolios according to their individual risk proﬁles and investment goals in a simple and efficient manner. Bibit’s user base includes 90% Millennials and also ﬁrst-time or inexperienced investors.
According to IDX and Central Custodian data, the number of mutual fund investors in Indonesia increased 78% year-over-year to around 3.2 million. New investors in the Southeast Asian country mainly include Millennials (people born between 1980 and 1996). This age group accounted for around 92% of the new investors in the country last year.
During Q1 2021, more than 1 million new mutual fund investors entered the market. Despite this substantial growth, less than 2% of locals have taken part in the nation’s capital markets so far.
Sigit Kouwagam, CEO at Bibit.id, remarked:
“Previously, the stock market was seen as an intimidating place to invest. Bibit is leveraging on technology to make investment accessible to everyone, including the inexperienced ﬁrst-time investors. Therefore, we are seeing an accelerated interest from retail investors into the capital market.”
Rohit Agarwal, VP, Sequoia India, stated:
“Indonesian mutual fund customers have grown almost 10x in the past ﬁve years. Savings via mutual funds is the ﬁrst step towards investing and Bibit has helped millions of consumers start their investing journey in a responsible manner. Sequoia Capital India is excited to double down on the partnership as the company brings the same customer focus to stock investing with Stockbit.”