FundGuard

FundGuard replaces the aging, batch-processing investment-accounting platforms that most global custodians still run today. These IBM mainframe and legacy server systems reconcile mutual-fund, ETF, and institutional mandate books overnight, which delays NAV delivery and leaves breaks to be cleaned up manually each morning. FundGuard's cloud-native, double-entry ledger operates in real time and embeds AI to detect stale prices, corporate-action errors, and NAV anomalies before they become exceptions.

CEO Lior Yogev, CTO Uri Katz, and VP R&D Yaniv Zecharya co-founded FundGuard in 2018. The founding team previously built large-scale real-time data infrastructure in the Israeli Defense Forces and commercial technology sectors. They brought engineering disciplines from real-time systems rather than from traditional banking technology, which explains why the product was architected as an event-driven, API-first ledger from day one.

The platform handles mutual funds, ETFs, institutional separate accounts, and increasingly alternatives and insurance general-account assets. The underlying data model is multi-asset and multi-currency, and the accounting-rule engine is configurable as code, so it can model the different NAV-calculation and expense-accrual rules across a variety of pooled and segregated fund vehicles.

State Street and Citi each participated as strategic investors in FundGuard's $100 million Series C in March 2024, alongside committing to use the platform in production. For them, the investment is a hedge — it aligns them with the technology likely to replace their own proprietary legacy accounting infrastructure and gives them influence over the product roadmap as they migrate client books onto it.

FundGuard is designed as a headless accounting layer that sits beneath custody and front-office systems rather than replacing their interfaces. A custodian can keep SimCorp Dimension or Aladdin as the portfolio-management front-end, pipe data into FundGuard for the accounting book-of-record, and rely on the platform's API to feed that clean NAV data back out to the front office or client reporting. This modularity reduces switching costs and avoids a rip-and-replace procurement battle.

The firm raised seed funding in 2019, a $12 million Series A in 2020 led by Blumberg Capital and Team8, a $40 million Series B in 2022 led by Qumra Capital, and a $100 million Series C in March 2024 led by Key1 Capital with Citi and State Street joining. The Series C signaled a shift from proving the technology to scaling commercial deployments across multiple tier-one custody clients.

No. FundGuard is a pure enterprise-software company — it builds and sells the accounting-ledger infrastructure that asset managers and custodians use, but it does not invest client capital, hold a proprietary portfolio, or take balance-sheet risk. The firm's clients pay a SaaS subscription for the accounting engine itself and for optional AI modules like exception detection and corporate-action processing.