HSBC Asset Management invests in London-founded Model ML

HSBC Asset Management has taken an equity stake in Model ML, the London-founded AI automation startup focused on financial services. The company did not disclose the size of the investment, but said the new money pushes its total funding past $100m.

That is a quick climb. Model ML only emerged from stealth after raising $12m, then announced a $75m Series A last year. The company says the round came six months after its Seed raise and 12 months after launch. FT Partners led that Series A, with Y Combinator, QED, 13Books, Latitude and LocalGlobe also in the mix.

Model ML is built for banks, asset managers and advisory firms. Its software is meant to take on the tedious, messy work in finance: research, due diligence, financial analysis and document creation. The startup says its system is model-agnostic, meaning it can route each task to the AI model it thinks fits best.

The client list is already doing a lot of work for the story. Model ML says Deloitte and PwC are customers, and it wants to add more banking and asset management names as it grows. The company is based in London and New York and was founded by brothers Chaz and Arnie Englander, both repeat entrepreneurs. HSBC Asset Management made the investment through its flagship VC strategy, which backs fund of funds and co-invests in high-growth venture companies.