London FinTech startup Babel Systems acquired by InvestCloud for $20m


Babel Systems, a processing platform for online trading, has been acquired by Californian finance software provider InvestCloud for $20m.

Founded in 2008, the London-based startup processes equities, bonds and funds whilst ensuring regulatory compliance. The transaction will link InvestCloud’s digital platform with Babel’s trading and accounting capabilities to provide a solution for financial services companies.

Headquartered in Los Angeles with offices in San Francisco, New York, Tampa and London, InvestCloud supplies investment businesses with custom digital software solutions. This includes brokers, hedge fund administrators, custodians, asset managers and wealth managers.

The firm’s clients can choose from a series of applets including client communications, operational management accounting and real-time analysis to assemble their own cloud solution. InvestCloud claims to provide custom financial solutions to over 130,000 users on the cloud.

John Wise, chairman and CEO of InvestCloud, commented: “InvestCloud needed an extremely high-volume and low-cost trading and accounting (book-keeping) solution designed for the cloud. Babel is the answer.

“Babel is designed for the international market and is the most modern platform in the world designed for robo and wealth; however, it’s also versatile and can be applied to all major financial markets,” he added.

Raising over $100m since 2010, InvestCloud also has on board the likes of JPMorgan, which purchased an undisclosed stake of the business last year.

Mark Trousdale, executive vice president of marketing at InvestCloud, concluded: “Further to our recent announcement of being selected by JPMorgan for digital solutions and as PwC’s strategic digital platform, this deal completes the whole product solution.”