Opto Investments, a US-based technology-enabled solution that offers private market access to independent investment advisors, has secured an investment of $145m in its Series A round.
The round, which was led by Tiger Global, was also joined by 8VC, Michael Dell’s MSD Capital, Clocktower Ventures, FinVC, HOF Capital, among others.
Opto plans to use the funds to provide new investment options to its clients and hire additional people for its 45-member team.
It has already forged alliances with more than 80 registered investment advisors (RIAs) to help them connect with private funds.
Currently, Opto is jointly led by its founders Mark Machin and Joe Lonsdale. Machin, the former chief of CPP Investments, is serving as CEO, while Lonsdale is the chairman at the company.
Machin said: “At CPP Investments, one of the largest global asset owners, I was privileged to be able to access the best private investment opportunities in the world.
“These top private investment opportunities are rarely made available to individual investors; Opto’s mission is to change that.
“Our vision at Opto is to use technology and innovation to break down barriers and give privileged access to our investment advisors and their clients.”
According to Opto, even after the increasing impact of alternative assets in the economy, a large chunk of savings across the globe has little to zero access to those assets. The average wealth advisor has invested 0-4% of their portfolio in private markets.
Scarcity of resources and proper access to alternative assets have created these scenarios, stated the company.
Private markets are estimated to represent less than 10% of the total size of public markets.