Cache has secured $12.5 million in Series A funding led by First Round Capital, following strong market traction with over $625 million in assets and near profitability within a year of launch.
Traditionally, sophisticated wealth management tools, such as exchange funds, were limited to ultra-wealthy investors due to high minimums and fees. Cache changes this by offering modern exchange funds with $100,000 minimums and lower fees (0.4% to 0.95%), enabling investors with concentrated stock portfolios to achieve diversification while deferring capital gains taxes.
The company addresses a growing need as stock-based compensation creates portfolios heavily weighted toward single stocks. Since March 2024, Cache’s platform has attracted public company executives, startup employees, long-term investors, and over 400 wealth management firms. Key metrics include over $600 million managed within its exchange funds, average investments exceeding $900,000 per client, and significant deferred capital gains.
To support growth, Cache has strengthened its team with industry veterans and expanded its product suite to include S&P 500 benchmarks and additional onboarding starting July 1st. Its proprietary Index Sync technology enhances capacity, tracking accuracy, onboarding speed, and fee structure. Cache operates as an SEC-registered broker-dealer and Investment Advisor, with robust asset protection.
With new funding, Cache aims to become the primary solution for managing concentrated stock positions across various investor types, making advanced diversification strategies more accessible in a growing market driven by equity compensation trends.
KEY QUOTES:
“This is one of those rare cases where the team, timing, and market opportunity align perfectly. Cache is solving a real problem, with clarity and urgency.”
Bill Trenchard, Partner at First Round Capital
“When I started Cache, I wasn’t trying to build a company that sounded like a financial institution. I just wanted to solve a problem I was facing myself, and that is what to do with a lopsided portfolio full of tech stock that had gone up a lot, but came with a huge tax bill if I tried to diversify. That problem wasn’t mine alone. It turns out thousands of others were in the same spot.”
Srikanth Narayan, founder and CEO of Cache
“Cache is bringing a sophisticated, tax-efficient strategy to investors who never had access before. It’s a big deal. Financial advisors have also embraced the platform as a solution for their high-net-worth clients with concentrated positions.”
Wesley Gray, Founder and CEO at Alpha Architect
