The new digital financial services platform, founded in 2024, which is backed by a raft of organisations, had about $750 million in AuM, reports have said.

Chocolate Finance, the Singapore-licenced robo-advisory firm which has been hit by a recent surge of client liquidation requests, says redemption requests are continuing to be handled in an “orderly fashion”.

The standard time to process the requests is three to six business days; all requests received between 10 and 18 March have been successfully processed and paid out, as of the end of the day on 21 March, it said in a statement.

As reported here, withdrawal requests were prompted by frustrated users of Chocolate Finance’s debit cards. The startup was founded in 2024. Allfunds, the B2B funds and distribution platform, is a licensed custodian for Chocolate Finance.

Chocolate Finance and Allfunds updated the market about the situation on 12 March. 

The Monetary Authority of Singapore has been monitoring the situation. 

The firm puts clients’ money in a portfolio of fixed-income funds to earn those target returns. By February, Chocolate Finance had almost S$1 billion in assets under management and more than 60,000 customers, according to its website. 

On its homepage, Chocolate Finance says: “With Chocolate Finance, you get happy returns. Enjoy 3.3 per cent per annum on your first S$20k, 3 per cent pa on your next S$30k and a target 3 per cent pa on any amount above that. Are you smiling yet?”

It is backed by organisations such as Peak Partners, Prosus, GFC, and Saison Capital. Investment partners include UOB Asset Management, Fullerton Fund Management, Dimensional, Nikko Asset Management, and Lion Global Investors. The firm reportedly had almost S$1 billion (about $750 million) in AuM.