Currensee, the very first forex social network, has just announced that it raised additional $4 million to fuel further expansion and product development.
Currensee until today doesn’t have too many competitors in this space which allows it to take its time and validate several business models. The only notable rivals are the recently launched FxStat which is a hybrid of Currensee and myfxbook. myfxbook itself is for now at least still a stats publishing service. Currensee however is growing slowly mainly due to its not-aggressive business model and that’s why it requires further funding which now brings it to almost $17 million since inception. Currensee doesn’t mark up spreads and typically negotiates lower spread to its clients with their brokers. I disagree with Currensee there as I think that even if this seems more transparent and fair, it is still a business that can and should charge for its premium service.
BOSTON – April 14, 2011 – Currensee, (www.currensee.com), the alternative investment service that gives investors unique access to the world currency markets, today announced that it has secured an additional $4 million as Series C financing from North Bridge Venture Partners, Egan-Managed Capital and Vernon & Park Capital. The C round money brings the Currensee total financing to date to $16.8 million.
“Currensee continues to fundamentally change foreign exchange investing, and its approach has been validated by the market with an incredible year of growth,” said Jim Moran, partner at North Bridge Venture Partners. “Currensee has not only brought transparency to Forex trading, but has also opened up the world’s currency markets to the rapidly growing population of retail investors.”
The past year was marked with the October 2010 launch of the Currensee Trade Leaders™ Investment Program, a service that lets retail investors automatically replicate the trades of some of the most successful traders in the world, called Currensee Trade Leaders. Since the launch, more than $3 billion in volume has been traded through the program. The company has also received more than 1,000 applications from professional and independent expert traders, vying for a coveted place on the Currensee Trade Leader Leaderboard, which showcases each Trade Leader’s performance, risk, return data and investor count. Currensee has also expanded operations into the United Kingdom and created partnerships with European investment banks and brokers.
The latest round of funding will be used to develop new decision-making, collaboration and portfolio management tools for investors to make currency investing even simpler and more transparent. It will also be used to fortify the Currensee technology infrastructure including data center expansion and enhancements to the Currensee Intelligent Trade Replication Technology™, a sophisticated trade automation engine that precisely manages the timing and round-turn execution of trades. The funds will also drive further international development, including the expansion of the Currensee sales teams in the United Kingdom and Europe, as well as new global partnership deals in Asia and Europe.
“Our customers come to us and invest in Trade Leaders mainly because of the lackluster returns and lack of transparency that come with traditional investments,” said Dave Lemont, CEO of Currensee. “We are bringing the world currency markets to every investor looking to move beyond the stock market, while creating a viable alternative asset class for the market as a whole. This new funding will help us expand our distribution globally so that investors and professional money managers can benefit from the fast growing foreign exchange market.”
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Currensee is the alternative investment service that puts the power of world currency markets in the hands of every investor. With the Currensee Trade Leaders™ Investment Program, investors build their own automated trading portfolios of Trade Leaders, top foreign currency traders hand picked from the thousands of members of the Currensee social network. The program offers investors an alternative to traditional asset classes and Trade Leader performance is completely uncorrelated to the stock market. Currensee delivers complete account control to investors, who can see every trade in real time, manage and modify investment allocations with one click and benefit from the safety and security of proprietary online investing technology. Currensee is funded by North Bridge Venture Partners, Egan-Managed Capital and Vernon & Park Capital and is a member of the National Futures Association (NFA) and registered by the Financial Services Authority (FSA). For more information, visit us at www.currensee.com. Find us on Facebook, follow us on Twitter, and watch us on YouTube.
About North Bridge Venture Partners
North Bridge Venture Partners is an active, bi-coastal, early-stage venture capital firm based in Boston, Massachusetts and San Mateo, California. Established in 1994, North Bridge provides seed-to-growth financing and company-building expertise. Together with North Bridge Growth Equity, our mid-market focused growth capital fund, North Bridge manages over $3 billion. For North Bridge Venture Partners, success is derived through a partnership with entrepreneurs that produce industry-leading companies in large emerging markets. Historically, the firm’s partners have played a significant role in organizing, starting and building successful companies. Working in concert with entrepreneurs, North Bridge adds value by providing strategic guidance, sharing operating experience, industry specific knowledge, team-building skills and an in-depth understanding of both private and public financings. North Bridge’s sector focus includes Software, Communications, Healthcare Technology, Digital Media, and Materials. For more information about North Bridge go to www.northbridge.com.
About Egan-Managed Capital
Egan-Managed Capital is a New England focused venture capital firm that provides funding for early-stage high-technology start-ups. Egan-Managed Capital delivers field-tested strategies, first-hand technology expertise and hands-on management involvement. Some of the region’s most promising start-ups have been funded by the firm, including Pyxis Mobile, OnePIN, OwnerIQ and uTest. Founded in 1997, the firm currently manages funds with $233 million in committed capital. For more information on Egan-Managed Capital and its team please visit www.egancapital.com.
About Vernon & Park Capital
Vernon & Park Capital is a private equity firm that focuses on investments in the Financial Markets Sector. Since 2001, Vernon & Park and affiliated parties have combined industry expertise and experience with rigorous financial analysis to successfully deploy its investment capital in the Sector. Through its investment activities, Vernon & Park provides capital to its portfolio companies and utilizes its extensive network of industry contacts as a strategic resource to help those companies realize their full economic potential. Vernon & Park will consider investments in companies at any stage of development ranging from earlier-stage emerging growth companies to more mature businesses in the Financial Markets Sector. For more information, visit the website www.vernonpark.com.