Singapore-based robo adviser Endowus officially launched services in Hong Kong, the first overseas market for the three-and-a-half year old company.
The expansion was partly financed from US$27 million raised in a funding round led by Dutch venture capital firm Prosus Ventures in November 2021.
Endowus announced the launch in a statement on April 27, saying that Hong Kong investors can now have access to 140 “best-in-class” funds across asset classes, including cash and money market, bonds, equity, multi-asset and commodities, via its Endowus Fund Smart solution.
The company also offers private wealth clients access to alternative strategies such as hedge funds, private equity, private debt and private real estate.
Co-founder and Chief Executive Officer Gregory Van says the Endowus Group has more than $4 billion of client assets from retail and high-net-worth investors, as well as family offices and institutions.
According to Van, Endowus is “staunchly committed to making wealth management advice and fund access fairer, more transparent and at a lower cost”.
He says the firm wants to challenge trailer fees, which are a norm across Asia and can incentivise distributors to offer funds that pay higher commissions over those that are more suitable for an investor. Trailer fees are paid by fund and asset managers to distributors such as retail banks, private banks, brokerages and investment platforms.
“Challenging this status quo, Endowus endeavours to disrupt the wealth management experience with absolute fee transparency, and a return in the form of cashback to clients for all trailer fees received,” Van says in the statement.
Endowus was established in October 2019.
