PROVIDENCE – Digital finance firm Marstone has raised $8 million in its series B fundraising round, the company announced this week.
The Rhode Island-based business, founded in 2013, serves a range of clients ranging from community banks and credit unions to large financial institutions, and provides resources to assist with investment and wealth management.
Leading investors in the latest funding round include, Mendon Venture Partners, South Rose Capital, the Castle Creek Launchpad Fund and Equity Bank, Marstone said in its announcement.
In a statement, Marstone co-founder and CEO Margaret J. Hartigan said the company's success comes as "financial firms are under immense pressure to retain deposits, increase fee revenue, and stem outflows to external, digital-first investment solutions."
She added, "banks today are looking for ways to protect margins and deposits. For many, digital investing and wealth planning are the most strategic paths toward those goals. We believe that banks with non-interest income at scale will be the ones to thrive, and agree that wealth offerings are the solution.”
Tony Scavuzzo, managing principal at leading investor Castle Creek Capital, said his company appreciated that Marstone "leaned in on wealth management years ago, seeing a future where their solution met both important service requirements of clients and delivered much needed revenue opportunities for community banks and other financial institutions.
"For countless institutions today, offering digital investment and financial planning is essential as they combat a challenging rate environment and evolving consumer needs in the digital space," he continued.
Marstone's clients include Equity Bank, the Woodriver National Bank and Red River Equity Bank.
Jacquelyn Voghel is a PBN staff writer. You may reach her at Voghel@PBN.com.