Introducing Finary: A New Approach to Wealth Management

Finary is an emerging French startup focused on revolutionizing personal finance management. The company aims to provide a comprehensive overview of an individual’s financial standing, encompassing savings, investments, mortgages, property holdings, and digital currencies.

Following completion of the Y Combinator program, Finary has secured $2.7 million (€2.2 million) in seed funding. This investment round was spearheaded by Speedinvest, with additional participation from Kima Ventures and individual investors, including Raphaël Vullierme.

The Changing Landscape of Wealth

Historically, substantial wealth accumulation typically occurs among individuals aged 40 and above. Building significant financial resources is rarely an overnight process. These individuals often rely on dedicated wealth management services offering customized financial guidance.

According to co-founder and CEO Mounir Laggoune, the wealth management sector has been slow to adopt technological advancements. Furthermore, financial advisors may have inherent incentives to promote specific financial products, potentially prioritizing revenue generation for their firm over optimal client outcomes.

A New Generation of Investors

Simultaneously, a new cohort of investors is beginning to amass considerable wealth. However, they often lack the appropriate tools for effective asset allocation. This younger demographic desires direct access to financial information.

They seek real-time or near real-time data tracking and the ability to make informed decisions based on that information. Finary is designed to address these evolving needs and preferences.

How Finary Works: An Aggregation Platform

Finary operates on the foundation of an API-driven aggregation system. Upon creating an account, users can seamlessly connect it to their existing financial accounts – including bank accounts, brokerage accounts, mortgage details, real estate holdings, gold investments, and cryptocurrency wallets.

The startup utilizes a variety of open banking APIs to maximize compatibility. For example, users can link accounts from platforms like Robinhood and Crédit Mutuel de Bretagne, as Laggoune explains.

Finary integrates with services like Plaid and Budget Insight. It also independently operates Bitcoin and Ethereum nodes to monitor wallet addresses and employs a proprietary algorithm alongside public data to estimate property values.

This integration allows users to gain a consolidated view of their total net worth, asset allocation, and the current value of their diverse holdings.

Future Vision and Premium Features

“Our long-term vision is to establish a virtual wealth manager for the European market,” Laggoune stated.

To that end, Finary has introduced a premium subscription service, Finary+. This upgraded account provides insights into fee payments and performance tracking, with further features planned for future implementation.

Within months of its initial launch, Finary is already monitoring over €2 billion in assets belonging to thousands of users. The recent funding will facilitate expansion into additional countries and integration with more financial institutions across France, Europe, and the United States. Development of mobile applications is also underway.

A Holistic Approach to Financial Oversight

Finary presents a unique approach to wealth management by avoiding a complete overhaul of existing systems. Traditional financial institutions often encourage customers to consolidate all their finances within a single bank.

However, this can result in higher fees and the use of outdated, cumbersome interfaces. Finary distinguishes itself by offering a comprehensive service that allows users to leverage multiple banks and financial services while maintaining a clear overview of their overall financial position.

Finary isn’t simply another wealth management service; it’s a unified platform for managing assets across various institutions.