ETF Investment and Technology Platform Tidal Financial Group Raises $32 Million Growth Equity Investment from FTV Capital
Investment will accelerate expansion of Tidal’s full-service white-label platform of solutions including ETF development, launch, trading and marketing, as well as other investment services and asset management solutions
CHICAGO – October 6, 2022 – Tidal Financial Group, a leading all-in-one ETF investment and technology platform facilitating the creation, operation and growth of ETFs for third parties, today announced a $32 million growth equity investment led by FTV Capital, a sector-focused growth equity investor with more than two decades of experience in financial services. The funding will enable Tidal to expand its team, unify its current multi-brand offering, further digitize client solutions and continue to deliver best-in-class services to new and existing ETF issuers.
Tidal Financial Group is the new unified name for multiple ETF-related brands including Toroso Investments, Tidal ETF Services and Toroso Asset Management. “As a catalyst and facilitator of ETF growth, our goal is to continue to enhance Tidal’s platform and services to better support our customers as they bring exciting ETFs and other financial products to market,” stated Guillermo Trias, Co-Founder and CEO of the Tidal Financial Group. “With its decades-long track record of investing behind proven market leaders across the ETF industry, FTV is the ideal partner to help us scale and take Tidal to the next level. We are confident that this investment from FTV Capital, together with our highly talented team, and proprietary solutions, will position us well for the coming years, as we continue to be a highly trusted name in the ETF space.”
ETFs are quickly becoming one of the most important investment vehicles, with assets in ETFs positioned to climb to $20 trillion by 2026, according to PWC. Both institutional and retail investors alike are attracted to ETF characteristics like low minimum investment amounts, intraday liquidity, tax efficiency and low fees.
Increasingly, new issuers are independent investment managers, RIAs, financial advisors and even mutual fund or hedge fund managers looking to optimize their businesses around the intrinsic benefits of ETFs. This has led to a three-fold rise in white-label launches over the last five years, for which Tidal is a market leader as it provides both a white glove end-to-end solution and a-la-carte services enabling the democratization of new ETF launches.
Tidal has identified the necessary conditions for ETF success and built an infrastructure to seamlessly connect product to allocator. Tidal works with asset and wealth managers, institutions and RIAs to develop, launch and market private label ETFs, delivering custom solutions that are quick, efficient and cost effective. Currently, Tidal is the collaborative partner to more than 55 ETFs in the United States, overseeing more than $6.5 billion in assets (as of Aug 30, 2022).
“Since we met the Tidal founding team well over a decade ago, they have continued to prove themselves as industry pioneers and thought leaders, bringing tremendous experience and expertise to the ETF ecosystem and empowering the next generation of a more broad-based market of ETF issuers,” said Mike Vostrizansky, principal at FTV Capital. “We share their vision of delivering a holistic ETF solutions platform from front-office to a full suite of operational infrastructure and look forward to working together to fuel the future of ETF development on behalf of Tidal’s customers.”
With this investment, Vostrizansky joined Tidal’s board of directors.
About Tidal Financial Group
The Tidal Financial Group is a leading ETF investment and technology platform facilitating the creation, operation, and growth of ETFs. Tidal combines expertise and innovative approaches in the collaborative design of ETFs and other groundbreaking financial products with its partners. As a holistic platform, Tidal partners with the investment community to build ETFs that seek to generate value. Tidal is the collaborative partner to over fifty-five (55) leading ETFs overseeing $6.5bn+ in assets. Tidal has a 40+ team and offices in New York, Chicago, Milwaukee, and Detroit. Visit www.tidalfg.com to learn more.
About FTV Capital
FTV Capital is a sector-focused growth equity investment firm that has raised $6.2 billion to invest in high-growth companies offering a range of innovative solutions in three sectors: enterprise technology and services, financial services, and payments and transaction processing. FTV’s experienced team leverages its domain expertise and proven track record in each of these sectors to help motivated management teams accelerate growth. FTV also provides companies with access to its Global Partner Network®, a group of the world’s leading enterprises and executives who have helped FTV portfolio companies for two decades. Founded in 1998, FTV Capital has invested in over 130 portfolio companies, including Agiloft, Docupace, EBANX, Lean Solutions Group, LoanPro, LogicSource, PlateIQ, True Potential and Vagaro, and successfully exited/partially exited companies including Enfusion (NYSE: ENFN), Globant (NYSE: GLOB), InvestCloud (recapitalized), MedSynergies (acquired by Optum), RapidRatings (recapitalized), Strata Fund Solutions (acquired by Alter Domus), VPay (acquired by Optum) and WorldFirst (acquired by Ant Financial). FTV has offices in San Francisco, New York and Connecticut. For more information, please visit www.ftvcapital.com and follow the firm on LinkedIn.
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