Swiss FinTech NetGuardians, renowned for its smarter AI-based enterprise risk platform for combating banking fraud, today announced it has successfully completed a new round of funding.

NetGuardians raised CHF 17m in new capital, more than double the amount of the previous rounds. Lead investors include the Pictet Group, a NetGuardians client, as well as private investment group ACE & Company. Verve Ventures contributed CHF 1.4 million.

The funds will be used to support meeting the rising demand for its fraud-mitigation software. NetGuardians will do this by strengthening its position in existing markets and further developing its software-as-a-service (SaaS) subscription model.

Why we invested in NetGuardians:

  • Finding efficient solutions to prevent financial transaction fraud without impacting the customer experience is a hot topic for all banks, with a high impact on operational efficiency, reputation, and customer satisfaction. Not only tier 1 banks but also private and retail banks are seeking scalable and cutting-edge products. They will spend more than 1.5 billion USD annually on bank payment fraud protection only, in a total market fraud protection and detection market of 80 billion USD.
  • NetGuardians has repeatedly outperformed competitive solutions in tenders and demonstrated the superiority of its use cases in demanding POCs. For this reason, all major banking software providers among those Finastra, Avaloq and Swisscom have integrated Netguardians in their product offering.
  • The extremely satisfied customer base with no significant churn includes close to 60 clients worldwide, ranging from Tier 1 and private banks such as BNP Paribas, Santander, UOB, Barclays and Pictet, to smaller retail banks like Swiss Cantonal banks.
  • ACE and Pictet represent two experienced co-investors with a global presence and an international banking network that will strongly support NetGuardians’ commercial expansion, especially to the US.

Some time ago, we interviewed NetGuardians’ board member Paolo Buzzi. Read the interview.