Next Gate Tech: smart analytics & automated data management for the financial industry

“I saw huge discrepancies between the technology and innovation used in front office work compared to back office.”

We’ve all heard that in today’s age, ‘data is king’. But how does that translate into practice? How does it play out on the ground? Occasionally you come across companies that have been built on this very premise and illustrate the point better than any description could. Next Gate Tech is one of those companies, offering data management, analytics and insights through their Software-as-a-Service platform.

BACK OFFICE TECH

Davide Martucci came to Luxembourg in 2015 to set up a fund. “That’s when I really discovered back office,” he says. “In setting up the fund, I faced the challenge of building everything from scratch, and I saw huge discrepancies between the technology and innovation used in front office work compared to back office.” Enter Next Gate Tech, the next step in back office.

EXTRACTING VALUE

Next Gate Tech is a fintech focusing on developing new technologies for the financial services industry. Their SaaS platform provides extensive data harmonization and analytics capabilities. “It’s about capturing data, harmonising it and then extracting value from it, computing analytics on top of the data,” Davide explains.

FROM SINGLE USE TO BIG BUSINESS

Starting out in 2019, the company had one single use-case, using software to catch anomalies in the valuations of funds, but this has now evolved significantly. “With the evolution of our technology and client relationships, we started to see that with the same data, and the right calculations, we can answer more use cases, looking at risk management or ESG analytics for example… So we re-positioned from one specific use-case to selling the technology.” Apart from the analytics, technology can offer other benefits as well, as Davide explains: “There’s multiple value-added: efficiency gains, precision but also cost-related as a good number of people involved in repetitive low value-added tasks can be used in tasks that generate more value.”

FUELLING INNOVATION

In 2020, an equity investment from MiddleGame Ventures, backed in turn by the EIF helped the company along its growth path. “We wanted to invest in our product to make it super robust, bullet-proof, and meet all the rules and requirements,” Davide says. “It’s in our DNA to keep innovating with the newest technology, so we aim to keep investing in the product going forward. With more regulation, more demanding clients, and less money available, the answer has to be technology...”

Company: Next Gate Tech (Luxembourg)

Type of business: fintech

EIF financing: Luxembourg Future Fund, EGF, RCR

Financial Intermediary: MiddleGame Ventures

Number of employees: +/- 40

Financing purpose: product development

For further information about EIF intermediaries in Luxembourg, please refer to: http://www.eif.org/what_we_do/where/lu