Tanamduit Holding Company Receives Initial Stage Investment of 45 Billion Rupiah

Mercanto Digital Asia, parent company of mutual fund platforms money, received an early-stage investment of approximately Rp44,7 billion (US$3 million) from RDN Kapital, a local venture capital firm affiliated with the Minna Padi Group.

The fresh funds will be fully used to develop Tanamduit products, recruit new talents in IT and marketing, and launch a number of marketing initiatives.

"We still have many opportunities to expand market share and help the movement of the Indonesian economy. For that, Tanamduit must continue to expand. Additional capital will help us realize this goal," said CEO of Mercanto Digital Asia Indra Suryawan, Tuesday (4/9).

Tanamduit will develop new products that will target corporate customers, in addition to retail customers. In the future, corporate customers can get more benefits from placing their funds in mutual funds, rather than in demand deposits because the yields are much higher. The service base will be more towards desktop sites, in contrast to retail customers who are more focused on mobile applications.

The company will also expand its mutual distribution channel with e-commerce services, but Indra has not given much information. He only said that the announcement of the cooperation between the two would only be inaugurated next month.

"Plant money is like wealth management. But different from wealth management in the bank, if we want to make people rich. That's why it takes cooperation with many partners to make this happen."

Investment Performance

Since its establishment last year, Tanamduit now has around 8 thousand retail customers with a total managed fund of around Rp. 20 billion. A total of eight investment managers have partnered with Tanamduit, including Bahana TCW Investment Management, Bahana Prosperindo Asset Management, BNP Paribas Investment Partners, and Mandiri Manajemen Investasi.

Of the eight MIs that have partnered, there are around 30 mutual fund investment products that customers can choose from. Most are dominated by the money market, followed by stocks.

"Because our target is novice customers, many of the mutual fund products presented are money market, more stable and suitable for getting acquainted with the world of capital markets," added Tanamduit Business Development Director Muhammad Hanif.

He continued that Tanamduit does not want to be arbitrary in presenting mutual fund products on its platform. For this reason, his party chooses to be selective, usually the products at Tanamduit are selected based on performance, product age, and whether they are new or not.

Until the end of this year, it is hoped that there will be the addition of two new MIs that are present in Tanamduit so that later there will be 10 MIs joining the platform.

"We don't want to work too much with MI, we just want to be selected. The goal is so that customers are not confused."

Until the end of 2018, all of the initiatives that will be carried out by Tanamduit are expected to boost the company's overall performance. The number of customers is targeted to be 40 thousand people, with managed funds of Rp. 100 billion.

Tanamduit previously released the Android version of the application in February 2018, followed by the iOS version in July 2018. The Android version is claimed to have been downloaded 6 thousand times, while the iOS version is 2 thousand times.