Rumman
Fintech is fast becoming one of the most invested in industries around the world. With services that range from online banking, to managing personal finances, and even making lucrative investments online, fintech is helping people all over the world make smarter financial decisions.
Tapping into this global trend, four innovators from across the globe, Shurouq Qawariq, Rida Mawla, Nabil Parkar, and Juan Manuel Balcazar, decided to pool their collective resources and create a digital financial solution of their own. “Rumman was founded by four friends who met in Indiana whilst completing undergraduate study back in 2005. We came together at a reunion in 2017 where Rida and Shurouq, both from the region, were shocked to discover the vast range of easily accessible financial products available to Nabil and Juan Manuel who are Europe/US based,” says Qawariq. “That led us into researching the financial sector in the region and ultimately to where we are today.”
The experience of the Rumman team is as diverse as it is extensive, with an MBA and a Masters in Finance from the world leading Queen Mary University in London, Co-founder Qawariq got her start working in Palestinian startups as well as various projects relating to financial technology. Co-founder Rida comes from an engineering/finance background and completed a masters at Columbia University. Rida also has previous experience helping regional startups grow and has worked with Wamda on community outreach and development in the past few years. With an MBA from Durham University Business School, Co-founder Nabil Parkar has an extensive background in marketing and has helped shape Rumman’s marketing strategy. Co-founder Juan Manuel recently completed a Master’s degree in Public Opinion Research in the UK, and in the past two years has helped build a Washington DC based upcycling business whose products are now sold worldwide.
“With our combined experience and knowledge of the region we decided to try to make a change in MENA. With financial products, particularly in savings and investment so hard to access, we focused our attention on this area to try and push disruption,” says Qawariq. “We see very low financial literacy rates and many people still operate in cash only, which isn’t sustainable for the long term. Putting money under the mattress shouldn’t be the only way to save in 2019; and access to wealth management products should not be available only for high net worth individuals.”
Established in 2018, Rumman is the first fintech company in the region that aims to offer personalized, digital wealth management and savings solutions at little to no cost. With Rumman’s application, customers from all walks of life can easily save and invest small amounts of money into a professionally managed portfolio of index funds. Through Rumman users will gain the power to achieve their short-term and long-term financial goals, simply with the click of a button. And it’s as easy as it sounds, customers simply connect any card or e-wallet to the Rumman app, and every time you spend, Rumman will round-up to the nearest dollar, and withdraw that spare change and invest it. Qawariq further explains, “The app is a savings app in the first place, therefore the investment products will be limited to three index funds, rather than allowing the user to purchase their own securities. These are: low risk, medium risk, and high risk index funds or exchange traded funds. A customer will be recommended one of these options via a quick and easy risk profile questionnaire within the app
Although launching one of the first fintech companies in the Middle East aimed at personal finance and investment may seem straightforward, it is anything but that. The Rumman team have had to strategically overcome country regulations that limit their operational capacity. As a result, the innovative team behind Rumman have adopted a B2B approach in some markets, while directly targeting customers in others. Further challenges include unbanked populations, however the Rumman team is busy at work finding solutions to these issues.
In order to expand outreach, the Rumman team has been actively meeting with relevant stakeholders including banks, e-wallets and regulators, as well as participating in regional events and fintech summits around the region. Qawariq further explains, “We have yet to market ourselves to the mass population, but are working on building our financial knowledge website, to be available in both Arabic and English by Q3 2019. It will be a great resource for anyone who is interested in the Financial world but does not have the background.”
Just last month, Rumman has signed an agreement with a Jordanian bank to pilot their product which will be launching to their customer base later this year. This is an invaluable opportunity for Rumman to validate the product directly with the end user, which will be instrumental for further expansion in the region.
In order to get to the next level, the Rumman team is currently fundraising and are hoping to raise $500K USD for an 18-month runway, and hope to partner with an investor that can offer their knowledge, experience and strategic value beyond financial support.
In terms of impact, the Rumman team is bringing financial inclusion to all, “Firstly, we’re building a personalized micro-savings and investment app that rounds up daily spending to the nearest dollar (or local currency equivalent), offering seamless saving solutions. This will open up the world of saving and investment to those traditionally unable to afford it,” says Qawariq. “Secondly, we’re accompanying our app with an Arabic first, content based platform for financial education and inclusion. We want to remove the knowledge barriers in the population by creating easy to read content. Education is at our core, and we want to provide MENA with financial literacy tools beyond the basics.”
To learn more about Rumman visit: http://www.rumman.co