Cache, a Startup Focused on Managing Large Stock Positions, Raises $12.5M Series A Funding

Cache, a startup founded by Srikanth Narayan, aims to address the challenge of employees' net worth being tied up in a single company's stock, offering a specialized brokerage for managing large stock positions. The company's flagship product is an exchange fund that enables investors to diversify their stock holdings without triggering capital gains taxes.

Cache recently raised $12.5 million in a Series A funding round led by First Round Capital at a post-money valuation of $125 million. The startup has attracted more than 60 angel investors, including former Autodesk CEO Amar Hanspal and DoorDash chief growth officer Brian Hale. Since its launch, Cache has accumulated more than $600 million of assets under management and is approaching profitability.The company's clients, which include individuals from companies such as Netflix and DoorDash, have shown a keen interest in diversifying their Tesla holdings.

Cache plans to continue targeting employees of large public tech companies who receive substantial equity compensation.