London-based CloudMargin raises $15M Series B funding led by Citi, Deutsche Bank, and Deutsche Börse, for its SaaS-based collateral management platform

CloudMargin is a London, England-based insurance tech startup and provider of cloud-based collateral management solution. Its Software-as-a-Service (SaaS) model helps many of the leading sell-side and buy-side financial institutions globally as well as outsourcers and other technology firms meet time-critical regulatory deadlines and reduce costs associated with collateral requirements that are growing dramatically.

Today, CloudMargin announced it has closed on its largest funding round to date, bringing in $15 million in a Series B capital raise. Primary investors were Deutsche Börse, one of the largest exchange organizations worldwide, along with Tier-1 global investment banks and current CloudMargin clients Deutsche Bank and Citi. CloudMargin said it will use the new fresh capital to further innovate the platform and technological capability to deliver an enhanced product and service for clients and partners. In addition, the startup intends to expand its sales and client service capabilities in the U.S. and Asia to meet greater demand.

CloudMargin was founded in 2014 by a team of professionals with several decades’ combined experience in collateral management, OTC derivatives, technology, and capital markets. Its SaaS software is enabling many of the leading sell-side and buy-side financial institutions globally – including brokerage firms, banks, asset management firms, pension funds, and insurance companies – as well as outsourcers and other technology firms, meet time-critical regulatory deadlines and reduce costs associated with collateral requirements that are growing dramatically.

Unlike the traditional collateral management solution, CloudMargin bypasses many of the shortfalls of legacy, on-premise software, enabling clients to experience rapid implementation and access to robust and secure collateral management workflow software. With more than 20 integration partnerships, CloudMargin was the first collateral management solution provider to be a member of the SWIFT network, facilitating straight-through processing through settlement.

Commenting on the funding, CloudMargin CEO Stuart Connolly said: “We’re delighted to enjoy the confidence of these premier global institutions and to give them an important voice on our Board of Directors as we continue on our exciting growth trajectory. During this unprecedented period of global turmoil and market volatility, it speaks volumes for the CloudMargin business model, achievements and strategy that we were able to successfully close this meaningful investment round with such high calibre partners as Deutsche Bank, Deutsche Börse and Citi.”

Connolly added, “For financial services institutions, the impact of COVID-19 has further reinforced our value proposition by highlighting many challenges the industry has faced for a prolonged period and acting as a catalyst to drive transformational change; firms are placing a strategic priority on adopting modern, Software-as-a-Service based cloud technologies that provide agility as well as operational and cost efficiencies.”