NEW YORK - RiskMetrics has completed a $21.8 million round of equity financing from seven companies: American Express, Deutsche Bank eVentures, Intel 64 Fund, J.P. Morgan, Procter & Gamble, Reuters, and Sony.
The risk measurement firm, which was spun off from J.P. Morgan in 1998, said it will use the funding to invest in new technologies and develop new products. It also plans to open new offices.
RiskMetrics has offices in New York, London, and Tokyo, and more than half of its revenues come from outside the United States. It started with 26 employees and now has 115.
The company plans to announce partnerships with financial portal operators and online brokers in the coming months.
Ethan Berman, chief executive officer of RiskMetrics, said tools to measure and understand risk are becoming more important. Seventy-one percent of U.S. households' financial assets are in higher-risk categories, he said.