Started by former Auth0 founder and German FinTech entrepreneur Salman Rahaman, NaroIQ is ready to disrupt the European ETF market with its innovative digital infrastructure. NaroIQ’s comprehensive platform addresses the specific challenges of a nascent European ETF market. It takes on challenges such as the oligopoly of a few major players and the reliance on cumbersome, paper-based processes. NaroIQ provides European fund providers with unprecedented efficiency and transparency while lowering costs. Hand-in-hand with you, we’re changing the way that fund administration works for the better.

For one of the world’s largest and most robust ETF markets, the European ETF market, a critical paradox looms. NaroIQ is addressing a huge prevailing issue in the market. It’s missing a strong centralized European ETF administrator — all of which produces unnecessary inefficiencies and inflates costs. The company’s digital infrastructure aims to meet this challenge head on. This can help increase efficiency, make fund and ETF providers more transparent in real-time, and pass along cost savings.

This concentration is very high in the current European ETF market. The five largest ETF issuers operate like a large cartel by owning 75% of the market. US-based issuers have completely cornered the European ETF market. The German asset managers run two-thirds of all European ETFs and control four-fifths globally. NaroIQ’s innovative solution equalizes the game for both NVA and European fund providers. Specifically, it provides a convenient, efficient and low-cost platform for bringing products to market and maintaining them, promoting more competition and innovation in the marketplace.

NaroIQ’s digital infrastructure platform cuts to the bone of launching and maintaining affiliate ETF and fund products, which have become expensive endeavors. Even proven transformational financial services have back-end processes that remain manual and fragmented, resulting in operational inefficiencies and higher operational costs. NaroIQ’s equity and inclusion platform makes these steps easy. It delivers major reductions in the expenses of introducing new ETFs and fund products, as well as improving the management of existing ones.

David Rosskamp, a Founding Partner at magnetic, a venture capital firm focused on intelligent infrastructure, understands just how critical NaroIQ’s solution is.

With foundational financial services still reliant on manual, fragmented back-end processes, NaroIQ’s digital infrastructure is critical to unlocking efficiency, real-time transparency and cost savings. The team’s API-first, cloud-native platform addresses the sector’s most painful workflows and positions NaroIQ to drive the next wave of innovation in fund servicing across Europe and beyond. - David Rosskamp

Flexible by design, NaroIQ’s platform is built for both funds and ETFs. By streamlining operations and reducing costs, NaroIQ empowers fund providers to focus on delivering value to investors and expanding their product offerings. If successful, this innovative approach could go a long way towards redefining the European ETF market, increasing competition, transparency and efficiency.