Magic Completes Series A Funding of 356 Billion Rupiah, Intensify Education and Acquisition of Millennial Users
Led by Horizons Ventures (Li Ka-shing) and Alpha JWC and followed by SoftBank Ventures Asia, Insignia Ventures, and Y Combinator
An investment platform that has recently acquired Primasia Unggul Sekuritas (Primasia Sekuritas), Magic Group, announced a series A funding of $25 million or equivalent to 356,3 billion Rupiah. The funding round was led by Horizons Ventures (Li Ka-shing) and Alpha JWC Ventures, followed by SoftBank Ventures Asia, Insignia Ventures and Y Combinator.
Ajaib had previously joined the Y Combinator program in 2018, as well as opening seed round-his. Funding continued in the following year, book funds $2,1 million from Y Combinator, SoftBank Ventures, Alpha JWC Ventures, and Insignia Ventures.
"I feel proud because Ajaib is the choice for most new stock investors in Indonesia. As a millennial, I know how difficult my experience was when I started investing. That's why Ajaib is very focused on millennials and better education," said the Co-founder & CEO of Miracle Group Anderson Sumarli.
The company plans to use the fresh funds to upgrade its technology infrastructure, recruit technical teams, and expand product offerings. In addition, the funds will also be used to support the #MentorInvestasi Ajaib educational campaign which aims to assist the Indonesian government's efforts in educating millennials about investment and financial planning.
"The investment sector in Indonesia is still underserved and one of the reasons is the lack of accessibility. Ajaib was able to provide a solution to these problems and revolutionized the stock brokerage industry in less than two years. We are very impressed with the speed of growth of Ajaib and we are very pleased to see Ajaib helping millions young people in Indonesia to invest better,” said Jeffrey Joe, Managing Partner at Alpha JWC.
In Indonesia, currently there are several digital services that accommodate the needs of users in making investments; including for mutual fund instruments, stocks, gold, to crypto assets. In Fintech Report 2020 released DSResearch, surveyed 329 respondents, obtained the following results related awareness applications for investment needs.
Some of the applications above also provide services similar to Ajaib, such as Bibit, Tanamduit, Bareksa for mutual funds; and Stockbit for stocks.
Group Magic Growth
Founded in 2019, Ajaib has become one of the fastest growing investment platforms in Indonesia, through Ajaib Sekuritas (stock securities online) and Magic Mutual Funds (mutual funds online). Within 7 months since the launch of Ajaib Sekuritas in June 2020, the company noted that more than 10 billion lots of shares have been traded on Ajaib.
Magic has also supported more than 1 million users every month in their investment journey. In December 2020, Ajaib also announced that the company collaborated with Korean drama actor Kim Seon-ho who played Han Ji-pyeong in the Start-Up series on Netflix as a Brand Ambassador.
To DailySocialSome time ago Anderson revealed that the current pandemic was unable to quell the enthusiasm of Indonesian individual investors to invest in the capital market. In the first two months since the launch of the stock service in Ajaib, the company has registered tens of thousands of new users, most of whom are millennials.
"Currently, the market position has not fully recovered, so the opportunity for users to reap profits in the capital market is still large," he said.
In 2021, Ajaib will continue its mission to welcome a new generation of investors in the Indonesian capital market. As of December 2020, there are 1.592.698 stock investors in Indonesia, meaning that less than 1% of Indonesia's population has a stock account. To increase the number of domestic retail investors, Ajaib plans to expand the scope of investment education campaigns and financial planning aimed at millennials.