Friday, 2023 September 29

Grab takes stake in Indonesian investment platform Bareksa, deepens Ovo integration

Indonesian investment and wealth management platform Bareksa has received an undisclosed investment from Grab in a Series C round, the firm said on Thursday. With this funding, Bareksa will tap into Grab’s user base, merchants, and driver-partners to offer mutual fund investments. Payments related to these features will be handled by Ovo, which invested in Bareksa in 2019.

Established in 2013, Bareksa was the first online mutual fund marketplace built in Indonesia. It is also the first fintech firm appointed by the finance ministry to sell Indonesian government bonds online.

Grab’s investment deepens its operational integration with Ovo’s ecosystem. Grab owns a 90% stake in Ovo after it purchased shares from Tokopedia and Lippo Group in October.

In recent years, more and more Indonesians—especially millennials and Gen Z—have been exploring new investment opportunities, often favoring options offered as apps. In 2015, the country had around 434,000 retail investors in the capital market. The number grew to more than 6 million by August 2021, according to data compiled by the Indonesian Central Securities Depository, or KSEI. The majority of retail investors purchased mutual funds, which are deemed to carry lower risk than stocks and fit the needs of novice investors.

The integration of Grab, Ovo, and Bareksa may accelerate the development of Indonesia’s retail investment and wealth management landscape.

“Ovo’s partnership with Bareksa has shown that collaboration between digital payment and wealth tech platforms can positively drive capital market expansion,” said Ovo CEO Jaygan Fu Ponnudurai in a statement. “Now, with the presence of Grab driving new synergies, we are confident that Grab-Bareksa-Ovo can accelerate the delivery of investment products to drive financial inclusivity in the country.”

Khamila Mulia
Khamila Mulia
Khamila Mulia is a seasoned tech journalist of KrASIA based in Indonesia, covering the vibrant innovation ecosystem in Southeast Asia.

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