We're excited to announce that our portfolio company, Artivest, has raised a $15m Series A round led by the private equity firm KKR. Artivest is a two-sided platform working hard to democratize investments into top-tier hedge fund and private equity vehicles.
With Artivest, there was a clear strategic benefit for KKR’s involvement. The company has created a technology and investment structure that allows accredited investors and the registered investment advisers that manage their money to invest in the private equity funds and hedge funds that had previously been the purview for ultra-high-net-worth individuals. The problem for private-equity firms and hedge funds is that they don’t have the capacity to manage a relationship with thousands of individual investors — the documentation alone would be a nightmare. Artivest solves this problem by creating investment funds that it manages, pooling the assets of the individual investors into a single, special-purpose vehicle that will invest in a private-equity or hedge fund.