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FinTech Titan Nets $58M, Plans Rebuild Of Investment OS

Titan, which works as a way to manage long-term capital, has closed a Series B fundraising round with $58 million, a company blog says.

The round was led by Andreessen Horowitz, and will also consist of other investors like General Catalyst, BoxGroup, and Ashton Kutcher’s Sound Ventures.

The new operating system will come with the ability for companies to have their capital managed by expert investors.

The company has said it thinks investing shouldn’t be a “time-intensive and stressful” thing to deal with, and should instead be seen as a “vital” act of stewardship.

PYMNTS reports that retail traders now comprise around 10 percent of the daily trading on the stock index Russell 3000.

The Russell 3000 includes numbers from 3,000 of the biggest U.S. stocks, which comprises 98 percent of all equities securities in the country. The index hit a peak of 15 percent in September 2020.

The average daily trading volume on the Russell 3000 has hit $380 billion since late June 2021. Retail investors have played a big part in that, funneling $38 billion every day into the index.

In comparison, individual investors make up around 5 percent of the total market value, according to data from Refinitiv.

“We find that retail investors tend to prefer companies in sectors they are likely to be familiar with as consumers, such as consumer discretionary, communication services, and technology,” Morgan Stanley said in a note, per U.S. News.

According to Morgan Stanley’s personalized methods for the period from July 2016 to July 2021, stocks with a large volume of individual trades tended to do better than those with a lower amount of retail investors. And the report said that the stock buys from individual investors had seen a boon at the beginning of the year because of the frenzy surrounding “meme stocks” like GameStop.

This, according to reports, saw the prices of those sorts of stocks surging well beyond 1,000 percent, which was more than analysts had ever predicted.

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