QED Investors Announces Closing of Two New Funds Totaling $1.05 Billion
QED Investors, a leading venture capital firm, has announced the closing of two new funds totaling $1.05 billion. The funds will be used to back early-stage startups as well as growth rounds for later-stage companies in the fintech sector.
New Funds Focus on Fintech Sector
The two new funds are specifically focused on the fintech sector, with a focus on backing companies in the United States, the United Kingdom, Latin America, and Southeast Asia. The firm’s co-founder and managing partner, Nigel Morris, noted that the fintech sector has seen significant growth in recent years, driven by consumer demand for online transactions.
History of Fintech Investments
QED Investors has a long history of investing in the fintech sector. In 2009, the firm led Credit Karma’s Series A round, and in 2014, it led Remitly’s Series A round and participated in Nubank’s Series A round. The firm has backed over 150 companies, including 20 unicorns.
Fintech Sector Growth
The fintech sector has seen significant growth in recent years, driven by the increasing demand for online transactions and financial services. According to a report by McKinsey, the global fintech market is expected to reach $870 billion by 2025.
QED Investors’ Expertise
QED Investors brings significant expertise to its investments in the fintech sector. The firm’s team of experienced operators and investors have deep knowledge of the industry and are well-equipped to help portfolio companies navigate the complex regulatory landscape.
Mitigating Risks in Fintech Investments
Morris noted that mitigating risks is a key aspect of QED Investors’ investment strategy. "Most fintech companies will fail," he said. "That’s just the statistical, pragmatic distribution that occurs." He emphasized the importance of solving multiple problems concurrently, as failing to do so can lead to significant consequences.
QED Investors’ Commitment to Fintech Sector
The firm’s commitment to the fintech sector is reflected in its investment strategy and team composition. With a focus on backing early-stage startups and growth rounds for later-stage companies, QED Investors is well-positioned to capitalize on the growing demand for fintech solutions.
Topics
- Fintech
- Nigel Morris
- QED Investors
- Startups
- Venture capital
- Venture funding