ASX fintech Raiz Invest [ASX:RZI] slipped on Monday following the release of its October trading metrics.
Raiz cited the ‘disappointing performance’ of its Asian segment, noting it will review its ‘customer segmentation strategies’.
RZI shares are down 70% year to date.
In other fintech news, BNPL firm Splitit [ASX:SPT] was up 3.5% late on Monday following a partnership agreement with payments facilitator Checkout.com.
SPT shares are down 50% year to date.
Source: Trading View
Raiz’s October trading update
On Monday, Raiz Invest released its operating metrics for October.
The highlights:
- General Group Customer Sign Ups at 3,138,781, up 1.9% on the previous month and 39.9% year-on-year (YoY)
- Group Investment Accounts at 1,586,906, up 1.8% month on month and 45.1% YoY
- General Active Customers at 670,583, down 10 basis points month-on-month and up 20.7% YoY
- Global FUM at $1.02 billion, up 4.6% month-on-month but 2.1% YoY
Broken down into key segments, Raiz reported little movement in active Australian customers or retail funds under managements (FUM).
Australian active customers fell slightly YoY to 289,255, while retail FUM rose slightly to $810.4 million.
Australia did see a 7% rise in superannuation FUM to $197 million.
While Raiz provided individual breakdowns for Indonesia and Malaysia, the two segments have a total FUM of $13.8 million.
Active Indonesian customers rose 51% YoY to 271,595, while active Malaysian customers rose 29% YoY to 109,733.
The group’s CEO, Brendan Malone, commented on Raiz’s October performance:
‘We continue to focus on our customers and understand what drives their savings goals and behaviour within the Raiz app. We are reviewing our customer segmentation strategies and evaluating the app and product enhancements that will help drive our customer centric model to the next level.
‘It is pleasing to once again have surpassed $1 billion in FUM given the economic uncertainty, and market volatility over the last twelve months; returning to this milestone highlights the resilience and stickiness of the Raiz customer base. As we continue to focus on our core offerings it was great to note that our Australian Superannuation offering saw the strongest performance in October with FUM increasing by 5.3%.
‘The performance of our Asian operations was disappointing, we continue a review of both the structure of these businesses and each operating model to better position them for success.’
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Regards,
Kiryll Prakapenka,
For Money Morning
