ArawakX: Institutional and wealthy investors looking to crowdfunding

Institutional investors and high-net-worth individuals are taking a keen interest in ArawakX as a new place to put their money to earn more money, ArawakX revealed in a statement.

ArawakX co-founder of D’Arcy Rahming Jr. said in the statement that offshore funds that are not as risk averse as local fund administrators have taken an interest in the companies offering shares on ArawakX’s crowdfunding platform.

“They typically allow 10 percent for early-stage companies, which is why innovation flourishes in their societies,” said Rahming Jr.

“ArawakX’s goal is to bring innovative companies to market and close this gap. What we have discovered is that the local pension funds tend to be the most conservative, because they are only allowed to invest in companies that have everything in place.

“It’s disappointing because the low-risk approach also means very low returns. We have also discovered that the high-net-worth individual is more likely to be a business owner than a professional. Apparently, you can’t look at the way someone dresses and assume how much they will invest.”

Rahming said the market appetite for the businesses ArawakX brings to the market for investment is not what the company thought it would be.

“We are learning the market and we have learned that the appetite for investing in our crowdfunded products cuts across all racial and economic lines. This is true to our core ethos of financial inclusion,” he said.

He explained that institutional investors and wealthy individuals seem to trust the platform’s method for choosing the companies that will be listed for investment. Rahming added that the company is also trusted because it is regulated by the Securities Commission of The Bahamas.

“ArawakX has an active compliance department with a full-time, anti-money laundering officer,” the statement said.

“The companies and their founders go through a robust vetting process, where a scorecard built on best venture capital methods are used in the evaluation before listing.

“There is a different level of scrutiny depending on your past positions and current income. For example, politically exposed people and their relatives undergo a more rigorous vetting because of who they are.”

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Chester Robards

Chester Robards rejoined The Nassau Guardian in November 2017 as a senior business reporter. He has covered myriad topics and events for The Nassau Guardian. Education: Florida International University, BS in Journalism

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