Saudi Arabia-based Dawul has scored $5m in a seed funding round, which was led by RAED Ventures.
Contributions to the round also came from Impact46, Seedra Ventures, Derayah Venture and Sukna Ventures.
Dawul claims this is one of the largest seed funding rounds of a FinTech company in the Kingdom of Saudi Arabia.
With the investment capital, the company hopes to expand its offering to include new social trading-related products, as well as expanding its network in the Middle East and North Africa. The platform aims to target the American and British market with its services.
Founded in 2020 and launched in July 2021, Dawul provides investors with an automated way to execute trades. Users can also follow professional traders and their portfolios and investment strategies.
The company recently released its investment funds product, which allows users to view the data of investment funds in the Saudi market and see all updates and analyses related to their own preferred funds.
This is done through alerts and notifications designed to help beginners make decisions when buying and selling stocks.
RAED Ventures co-founder Talal Alasmari said, “There are enormous opportunities behind the concept of social trading which have not yet been applied in the region.
“We are pleased to be investing in Dawul platform which is the first to introduce this concept to the Saudi market through a safe and transparent platform, and with the support of the Capital Market Authority to raise awareness among investors. We believe in the ability of the Dawul team to expand and serve the whole MENA region.”
The FinTech company is also hoping to spread the culture of investing. As part of this effort, the company plans to release an educational game “the Japanese candlestick game.”
This game will educate beginners and enrich their knowledge in analysis methods of market volatility and its risks by making them practice stock price predictions based on stock data and trends from previous sessions.
Late last year, fellow Saudi Arabia-based FinTech company Lamaa raised $5.5m in its seed round. The company offers supply chain finance to customers, which means they can upload their invoices to the marketplace and get paid early for them so they can use the cashflow for other parts of the business.
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