The company effectively reopened the consumer credit asset-backed security (ABS) market in May with a USD 200 million ABS fully managed by its AI, marking its first insurance amongst marketplace lenders in months, and seventh deal till date
Fremont, CA: Global financial technology company Pagaya secured USD 102 million in a Series D round of financing led by a prominent strategic financial institution. The round was also participated by Aflac Global Ventures, the venture capital holding company of top insurance firm, Aflac Incorporated, Poalim Capital Markets, the investment banking arm of Bank Hapoalim, Viola, Oak HC/FT, Harvey Golub, Pagaya board member and former Chairman and CEO of American Express, Clal Insurance Ltd., GF Investments, and Siam Commercial Bank through its Digital Venture’s arm. New York-based Pagaya leverages Artificial Intelligence to reshape asset management and institutional investment.
"The world is changing quickly, and investors need a performance edge - more and more are turning to Pagaya," said Gal Krubiner, Pagaya's CEO and co-founder. "We continue to unlock unprecedented value with our AI even during extreme market stress. Closing a round of this magnitude, with such a high-quality group of investors, is a testament to the hard work of the Pagaya team." Within four years of its inception, the company has grown to manage USD 1.6 billion worth of assets for banks, insurance companies, pension funds, asset managers, and sovereign wealth funds entirely with its sophisticated AI.
The company effectively reopened the consumer credit asset-backed security (ABS) market in May with a USD 200 million ABS fully managed by its AI, marking its first insurance amongst marketplace lenders in months, and seventh deal till date. Within just a year and a half, the company has a total ABS insurance of over USD 1 billion. "It's extraordinary to see the Pagaya team deliver on their promise to bring in a new era of asset management using unparalleled technology," said Harvey Golub, Retired Chairman and CEO of American Express, and Pagaya board member. "The firm continues to significantly and effectively innovate in a space that has failed to evolve for decades. Pagaya is driving the future of asset management."
The company will use proceeds from the investment round to hire more top-tier data scientists, develop its technology further, and continue its pursuit of new asset classes, such as real estate and other fixed-income assets like auto loans mortgages, and corporate credit.