Nyca Partners Closes Third Fintech Focused Fund In Five Years

Nyca Partners, the venture capital firm focused on the financial services and technology markets announced last week it has raised $210 million for its third fund.

In a press release, the VC firm that closed its first $30 million fund in July of 2014 and its second $140 million fund in May of 2016, said the success of its model is being illustrated by the interest on the part of investors. With the third fund, the number of institutional investors who are part of Ncya’s fund now stands at 21 with 55 limited partner advisors.

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“Over the past five years we have assembled a remarkable group of more than fifty Limited Partner Advisors — or LPAs — who work with us and our portfolio companies to provide expert knowledge and help make innovators more successful,” wrote the VC firm in a press release announcing the new fund. “We think this has led us to a unique position: Nyca is early in identifying the most important trends and companies because we are trusted and respected by both the innovators and the incumbents.”

In addition to announcing the third fund, Nyca promoted David Sica to partner, joining Hans Morris and Ravi Mohan. Sica has been with Nyca since its early days and plays an essential role in building all the aspects of the VC. The company also prompted two to senior associate roles and brought on more investors and analysts.

Since launching its first fintech focused fund back in 2014, a lot has changed for the industry. Tens of billions of dollars is being invested in the sector on a worldwide basis with all sorts of fintech companies vying for customers business. Back in 2014 Nyca said the market was dominated by credit, payment and crypto startups. Regulators had little idea of what these companies did and were ill prepared for their disruptive nature. At the time there were several hundred startups in the market. Fast Forward to the middle of 2019 and a lot has changed. According to Nyca, the number of funded fintech startups stands at 15,000, with some morphing into huge companies. The investment landscape has also gotten crowded, with tons of VC firms focused on the market.

Nevertheless, Nyca said it's undeterred. “What’s the same is the complex financial ecosystem, in which entrepreneurs need sound and expert advice to help them focus on executing their ideas in the most productive way,” said Nyca. “Connecting our knowledgeable LPAs with fintech entrepreneurs creates a symbiotic relationship that will enable a more efficient and empowering financial system for all of us.”