This article first appeared in The Edge Financial Daily, on March 4, 2016.

SINGAPORE: Singapore’s United Overseas Bank (UOB) said it would invest US$10 million (RM41.3 million) in Israel-headquartered crowdfunding platform OurCrowd as part of the companies’ collaboration to help Asian start-ups raise equity funds.

UOB said the deal would allow accredited investors among its clients to invest in OurCrowd’s portfolio companies, adding the partnership will help address the funding gap for small and medium enterprises in Southeast Asia.

Sassoon Investment Corp, an investment holding company of the Singapore-based Sassoon family known for building The Coffee Bean & Tea Leaf brand, will also be investing in OurCrowd’s Asian expansion.

Crowdfunding is the practice of financing a project or venture by raising small amounts of money from many people, typically through the Internet. OurCrowd has invested over US$200 million in 93 portfolio companies and seen four exits since its 2013 launch.

UOB’s move is an example of how the global banking industry has been adopting financial technology by partnering with fintech companies, launching start-up programmes or funding them.

Asia has become the second-most-funded region for fintech with investors keen to access the world’s largest unbanked population, and a private wealth market about to overtake that of North America, Ernst & Young said in a report last year. — Reuters