Adviser technology company Saturn has raised USD$15m (£11.2m) in a series A funding round to help grow its AI offering.
The firm said the funding will accelerate the development of AI tools and technology to enable financial advisers to deliver faster, more scalable and more compliant advice at a significantly lower cost for clients, by reducing the time they spend on manual processes.
Saturn said its technology is already used by major players in the advice market including Hoxton Wealth, Progeny, Perspective Financial Group and Insight Financial Associates.
The aim is to help address the so-called “advice gap” in the UK, which is where millions of people who would benefit from advice aren’t able to afford it. Data from the UK regulator, the Financial Conduct Authority, shows just 9% of UK adults received advice last year.
It typically costs around £2,000 for an advice firm to serve one client per year, but Saturn said it is aiming to reduce this cost to £200 per client per year.
Amal Jolly, chief executive of Saturn, said: “We started this business to harness technology to help close the advice gap. Everything we build has advisers’ compliance challenges in mind.
“By doing the heavy-admin-lifting and making compliance much more reliable and less painful, we can help financial advice professionals offer their life-changing services to more people at a significantly lower cost.”
The funding round was led by European VC Singular, with participation from Shapers, Y Combinator and Zeno Ventures.
