When it comes to investing, there are a variety of routes to take whether it be into property, stocks or even crypto. Ledger Investing, a NYC-based insurtech startup, offers up a new form of investing through insurance securitization, a process in which assets are combined and repackaged into investments that collect interest.
While this type of investment marketplace is fairly new, funds are pouring in.
On Wednesday, Ledger Investing pulled in $75 million in a Series B round led by WestCap. The company plans to use its fresh funding to fuel the expansion of its insurance capital marketplace, data infrastructure offerings and asset management services. Additional funding will go toward hiring 200 new employees.
Ledger Investing co-founder and Chief Security Officer Julien Brissonneau wrote in a Medium post that the hiring spree will allow the company “to further our mission of transforming the financing structure of the entire insurance industry by bringing unprecedented transparency, standardization and automation to the space.”
Ledger Investing’s technology works through its software and data analytics that cover a variety of insurance risk portfolios. This technology allows investors to make secure investments. The investments are primarily sought after by asset managers, pension funds, hedge funds and family offices, although Ledger Investing says any institution can invest.
“We’ve placed over $400 million in premium into the capital markets and are on track to exceed $1 billion by the end of the year,” Brissonneau said in a statement. “As Ledger Investing grows, our marketplace will serve virtually all types of insurance risks and capital, encompassing traditional reinsurers, institutional investors, wealth managers and accredited retail investors.”
