OnCorps, a provider of artificial intelligence to financial services operations, this week announced the close of a Series B investment round led by Guggenheim Investments. Guggenheim Investments is the global asset investment and advisory arm of Guggenheim Partners. The company today also announced that Jay Hooley, who served as chairman and CEO of State Street Corporation from 2010 to 2018, will also be participating in the round and will join the OnCorps board.
Financial services firms struggle to improve profitability by reducing costs while scaling. The bottleneck is often operations workflows, which are burdened with legacy systems, increasing operational complexity, proliferating data, and rigorous regulatory demands. Making matters worse, operations departments are experiencing up to 30 per cent turnover, unable to retain staff asked to perform highly repetitive tasks.
Some financial services firms have turned to robotic process automation (RPA) to address these challenges, but these off-the-shelf automation tools have fallen short in meeting their needs, the company said. Without complex artificial intelligence customized for these specific use cases, traditional RPA tools generate large volumes of false positives, creating more work for analysts and perpetuating upstream issues versus resolving them, they stated.
“There is a tremendous opportunity to automate very complex business processes in the financial services industry,” said Hooley. “Existing solutions have helped but fall far short of true end-to-end process automation. OnCorps has demonstrated the ability to solve these problems with industry-specific algorithms and has the potential to transform the way operations teams function across the industry.”
“We are excited to support OnCorps’ strategy to partner with financial services firms,” said Evan Cummins of Guggenheim Investments. “Conventional RPA solutions fall short in complex organizations. OnCorps has the AI expertise and software necessary to bring value to its Clients by providing a creative and unique solution.”
OnCorps will use the funding to broaden the use of AI algorithms across the financial services sector and invest in new AI research to continue reducing cost and minimizing risk in financial services operations, while continuing to support the world’s leading asset managers.
“We are delighted to have Guggenheim Investments and Jay Hooley as new investors and partners. They bring significant experience and connections that will help us scale our operational AI solutions across the industry,” said Bob Suh, OnCorps’ CEO and founder.