Perspectives

A Case of TIMO Digital Bank

Credits

Analysts
Ms Ellie Nguyen, Analyst
Ms Avryl Tan, Analyst
Mr Xander Ho, Analyst

Research
Mr James Tan

Preface

This report explores the expedition of Timo, one of Vietnam’s trailblazers in digital banking, and its role in revolutionizing the country’s banking landscape. Founded with a mission to transform traditional banking, Timo set out to offer a digital, fee-free and user-centric financial experience that resonates with Vietnam’s growing mobile-first population. Its rapid rise in the competitive fintech market is a compelling case study of innovation and strategic partnerships in action.

Timo’s collaboration with BVBank combined the agility of a startup and the operational strength and regulatory expertise of an established institution. This partnership between a nimble startup and an established bank exemplifies the power of corporate-startup alliances in driving growth and disruption within the fintech ecosystem.

With a focus on customer-first values, Timo redefined user expectations in Vietnam’s banking sector, offering a hybrid engagement model and cutting-edge technological solutions that cater to the evolving needs of customers. The bank’s ability to maintain a competitive advantage in a rapidly changing market, while fostering continuous innovation and learning, has made it a key player in the country’s digital transformation.

There has been a perception that corporate companies in Vietnam are rarely involved in innovation for startups. This perception is aged, and the collaboration between Vietnam’s Timo and BVBank highlights the presence of corporate and startup partnerships, in a journey for innovation.

As Vietnam continues to undergo rapid digital transformation, Timo’s journey offers important insights into how fintechs can thrive in a developing market by leveraging technology, fostering collaboration, and maintaining an unwavering focus on customer experience. Through Timo’s story, we gain valuable perspectives on the evolving future of banking in Southeast Asia and beyond.

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Foreword

Mr James Tan
Managing Partner
Quest Ventures

Timo Digital Bank’s corporation innovation journey with BVBank offers valuable lessons for other corporations and startups in Vietnam. Timo’s collaboration with BVBank combined the agility of a startup and the operational strength and regulatory expertise of an established institution. This partnership between a nimble startup and an established bank exemplifies the power of corporate-startup alliances in driving growth and disruption within the fintech ecosystem, and the startup and innovation ecosystem at large.

There has been a perception that corporate companies in Vietnam are rarely involved in innovation for startups. This perception is aged, and the collaboration between Vietnam’s Timo and BVBank highlights the presence of corporate and startup partnerships, in a journey for innovation.

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Introduction

It was early 2022, at the tail-end of the Covid-19 pandemic, when Jonas Eichhorst first walked into Timo’s new, modern, two-level office on bustling Nguyen Thi Minh Khai Street in Ho Chi Minh City. Outside, the street buzzed with the sounds of Vietnam’s rapid economic transformation—motorbikes weaving through traffic, vendors calling out, and construction cranes lifting the skyline higher by the day. Inside Timo’s office, the energy was different. It was more focused, more deliberate, yet brimming with a quiet urgency.

The space was open, designed intentionally without cubicles or glass-enclosed corner offices that signal hierarchy in more traditional setups. Here, the atmosphere was about collaboration, not rank. The few walls that existed were whiteboards scribbled with ideas, flowcharts, and product mockups.

At any given moment, groups huddled together, discussing user feedback or brainstorming new features for the bank’s ever-evolving digital platform. Coders tapped furiously at their keyboards, while designers sketched out product ideas that would later be debated, refined, and turned into reality. The sound of spontaneous conversations echoed across the office as people exchanged quick ideas or sought advice, blurring the lines between departments. This was not just a workplace—it was a living, breathing ecosystem of innovation, where agility and user-centric design were the lifeblood of everything they did.

Founded with a vision to transform traditional banking, Timo set out to offer customers a financial experience that was not only digital-first, but also fee-free and designed to simplify everyday banking. In a country where banking traditionally meant long queues, paperwork, and hidden fees, Timo broke away from convention by putting technology and user experience at the core of its offering. Positioned at the forefront of Vietnam’s fintech revolution, Timo leveraged its partnership with BVBank to challenge the long-standing norms of the financial industry. Together, they combined the agility and customer-centric design of a startup with the regulatory expertise and operational strength of an established bank.

As Timo expanded its user base and offerings, one critical question remained: How could it sustain its competitive edge in an increasingly crowded digital banking market? With new players constantly emerging, maintaining leadership in innovation, customer trust, and operational excellence became key to Timo’s growth strategy.

Eichhorst, the newly appointed CEO, quickly grasped the pulse of this dynamic environment. He knew that as one of Vietnam’s leading digital banks, Timo had been at the forefront of the country’s fintech revolution. But his vision went beyond simply riding that wave. His approach was about nurturing a culture that not only responded to change but actively drove it. Leading by example, Eichhorst sits at an unassuming desk among his team, blending seamlessly into the creativity of the young talent around him. He fostered an ethos of ownership, encouraging everyone—regardless of their role or title—to think like entrepreneurs and constantly challenge the status quo.

This report explores how Timo leveraged a strategic partnership with BVBank to disrupt Vietnam’s traditional banking landscape. By combining Timo’s innovative, digital-first approach with BVBank’s regulatory expertise and operational strength, this collaboration highlights the powerful role of corporate-startup partnerships in driving financial innovation. The report delves into Timo’s market strategy, customer-focused product development, and operational challenges, demonstrating how this unique synergy redefined customer expectations and positioned Timo for future growth in Southeast Asia’s dynamic fintech ecosystem.

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Vietnam’s Digital Banking Sector

Vietnam’s digital banking sector has experienced rapid growth in recent years, driven by a young and tech-savvy population, increased smartphone penetration, and growing internet access. The country has one of the highest smartphone adoption rates in the region, with over 84% of the population owning a smartphone as of early 2024, making it an ideal market for digital banking solutions (EdTech Agency, 2024). A significant portion of the adult population is increasingly utilizing digital financial services, signaling a major shift in consumer behavior toward digital and mobile-first solutions.

This shift can also be observed in the increasing number of domestic transactions conducted via internet banking. As shown in Figure 1, the quarterly number of internet banking transactions in Vietnam has steadily risen from Q1 2020 to Q1 2023, highlighting the growing adoption of online banking services in the country. This trend aligns with Vietnam’s broader digital transformation and the rising demand for faster, more flexible financial solutions.

Despite this digital readiness, Vietnam’s traditional banking system struggled to keep pace with the rapid technological changes. Conventional banks were characterized by physical branches, long queues, paperwork, and restrictive banking hours. These factors contributed to a significant segment of the population remaining unbanked or underbanked. Only 31% of Vietnam’s population had access to formal financial services as of 2017, highlighting a critical gap in the market (World Bank, 2017).

The rise of fintechs and digital banks presented an opportunity to address these inefficiencies. Digital banking was not just a convenience, but a necessary evolution to meet the growing demand for faster, more flexible, and accessible banking solutions. This dynamic landscape created a fertile ground for new entrants to disrupt traditional banking models and redefine how financial services were delivered.

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Timo’s Market Entry and Strategic Positioning

Timo entered the market to address these inefficiencies, aiming to revolutionize the banking experience by going fully digital—no physical branches, no paperwork, and minimal fees. The mobile-first strategy aligned perfectly with Vietnam’s booming mobile internet usage, enabling Timo to cater to a middle-class that was increasingly demanding user-friendly financial services.

Timo’s approach has resulted in impressive growth. The total number of customer accounts is approaching a million, supported by a compound annual growth rate (CAGR) of over 60% since 2020. This rapid growth underscores the effectiveness of Timo’s innovative and user-focused strategy.

Inspired by successful models like Monzo in the UK and N26 in Germany, Timo recognized the potential to introduce similar innovations to Vietnam’s underserved banking market. Eichhorst reflected, “Timo was one of the first to offer fee-free banking in Vietnam. This pushed the broader banking sector to adopt similar models, revolutionizing customer expectations. We saw the inefficiencies in traditional banking, and we moved fast to provide a better solution.” This proactive approach allowed Timo to set itself apart, challenging traditional norms and prompting other banks to rethink their strategies.

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Timo Hangouts

In Vietnam, trust in financial services has traditionally been tied to physical bank branches, particularly among the older population. Although the rise of digital banking is gaining momentum, there remains a cultural inclination toward the security offered by traditional banking methods. A significant portion of the population, particularly older generations, associates physical bank presence with reliability and trustworthiness. However, the younger, tech-savvy generation has shown more openness to digital banking, driven by the convenience and efficiency these platforms provide.

While Timo Hangouts were initially established for KYC (Know Your Customer) verification, it evolved into customer engagement hubs, offering a unique blend of digital convenience and personal interaction. This approach mirrored successful retail models like Apple Stores, which thrive on combining online efficiency with offline customer experiences. Partnerships with 7-Eleven and McDonald’s further scaled this model, enhancing Timo’s visibility across Vietnam and providing convenient touchpoints for users.

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Partnership with BVBank

In Southeast Asia, corporate-startup partnerships have become increasingly important as legacy financial institutions struggle to innovate. 65% of banks and 76% of credit unions in the region view fintech partnerships as key to their growth strategies (Cornerstone Advisors, 2020). These collaborations allow banks to leverage the agility of startups while providing access to infrastructure, regulatory expertise, and capital.

Timo’s relationship with BVBank is a case study in how corporations and startups can collaborate to drive innovation. While BVBank provided the regulatory framework and financial backing, the partnership thrived on Timo’s ability to remain agile in a rapidly evolving industry. As noted by Eichhorst, “because of how fast things are changing, you need innovative players to keep pushing forward”. This dynamic allowed Timo to innovate swiftly within the constraints of a highly regulated sector. The collaboration enabled Timo to tap into BVBank’s extensive knowledge of compliance and its established customer base, while Timo focused on designing user-friendly products and services.

This collaboration underscores a broader trend in the fintech world: the growing importance of partnerships between legacy financial institutions and digital startups. Traditional banks, often constrained by regulatory and operational hurdles, struggle to keep pace with the rapid innovation seen in the fintech space. Startups like Timo bring the agility and customer-centric design that these institutions need to remain competitive. As Eichhorst noted, “Corporate innovation is not always about grandiose ideas but about recognizing opportunities. BVBank understood that by supporting Timo, they could tap into a rapidly growing customer base while we focused on what we do best—innovating.”

Leveraging BVBank’s infrastructure, Timo was able to launch new products and scale operations swiftly, bypassing the lengthy and costly process of obtaining a full banking license while still offering a comprehensive suite of services to its customers. “The stuff we do isn’t always sexy,” Eichhorst added, “but it’s the compounding micro-innovation that drives the macro-output.”

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Product-Market Fit and Standing Out

One of Timo’s key success factors was its commitment to achieving a strong product-market fit. Built on customer feedback, Timo’s offering of zero-fee transactions, easy savings options, and a clean, intuitive app interface quickly gained traction among Vietnam’s digitally savvy consumers. Timo distinguished itself from competitors through strategic decisions and innovative approaches, such as its fee-free model, which challenged traditional fee-based banking structures and set new market standards while doubling down on personal financial management offerings.

Unlike traditional banks encumbered by legacy systems, Timo’s modern, cloud-based infrastructure enabled rapid updates and improvements. This agility allowed Timo to respond swiftly to customer feedback, maintaining a dynamic platform that kept users engaged. “Our early adopters helped us understand what worked and what didn’t,” noted Eichhorst. “We knew that we couldn’t sacrifice simplicity for features, and every decision we made came from understanding our users’ needs.” Additionally, Timo’s hybrid engagement model—blending digital and physical interactions—addressed the trust concerns prevalent in a market still attached to traditional banking.

Timo’s commitment to customer satisfaction is reflected in its churn rate, which has remained below 5% annually for activated customers. Additionally, the current life-time value (LTV) to customer acquisition cost (CAC) ratio is greater than 10x, highlighting the significant value generated per customer. These metrics underscore Timo’s effective user retention strategies and cost-efficient customer acquisition model.

Through these strategic initiatives, Timo not only stood out from its competitors but also set a new benchmark for what digital banking could achieve in Vietnam. Its focus on transparency, rapid innovation, hybrid customer engagement, and strategic partnerships has solidified Timo’s position as a trailblazer in the digital baking sector.

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Scaling Operations and Infrastructure

Scaling fintech operations in Vietnam has historically been a complex and challenging endeavor. The country’s diverse geography and regulatory landscape, along with its limited infrastructure have long posed significant barriers to growth for financial service providers. Only 39% of Vietnam’s population lives in urban areas (World Bank, 2023), making it difficult for digital banks to reach rural and remote communities, where traditional banks have historically held a strong foothold due to their physical presence. This geographical divide, coupled with a deeply ingrained trust in conventional banking systems, has created a challenging environment for fintechs seeking to expand their footprint.

Timo’s tech-driven approach, leveraging AI, big data, and machine learning, helped optimize operations and handle growing transaction volumes efficiently. Its partnership with BVBank was instrumental in navigating regulatory complexities, allowing Timo to expand its services while maintaining compliance. Despite these efforts, scaling remains a constant challenge due to logistical realities and the existing trust gap in rural areas.

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Driving Innovation Through Collaboration

Timo’s success is grounded in strong leadership, a collaborative culture, and the efforts of its dedicated team. While Eichhorst provided strategic vision, the leadership team and workforce were critical in driving innovation and navigating the challenges of scaling in Vietnam’s evolving fintech landscape.

The leadership team, with diverse expertise in finance, technology, and customer experience, fostered a sense of shared responsibility and decision-making. This empowered team members to take ownership of their work, promoting agility and customer-focused strategies. Timo’s culture minimizes bureaucracy, encourages rapid decision-making, and cultivates creativity, enabling the bank to quickly adapt its products in response to market shifts.

The partnership with BVBank further enhanced this collaboration. Timo’s agility and BVBank’s regulatory infrastructure combined to overcome compliance and operational challenges, allowing Timo to focus on growth and innovation.

Recognizing talent gaps in Vietnam’s startup ecosystem, Timo invested heavily in employee training and development. This focus on continuous learning has strengthened the team’s capabilities and sustained Timo’s competitive edge. BVBank’s resources further enriched talent development, by providing access to broader expertise.

Timo’s work environment, driven by a shared mission to empower customers through technology, has helped attract top fintech talent. “For those looking for an accelerated learning journey and a sense of ownership, Timo is the best place in Vietnam,” said Eichhorst.

Ultimately, Timo’s leadership and team dynamics, alongside its partnership with BVBank, have been key to overcoming challenges and driving innovation in Vietnam’s financial sector.

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Conclusion

Over the years, Timo has achieved impressive milestones, growing to almost a million users and positioning itself as one of the most cost-effective digital banking platforms in Vietnam. Looking ahead, Timo is well-positioned to expand beyond Vietnam, leveraging its scalable infrastructure and strong corporate partnerships to become a regional fintech leader.

Timo’s journey with BVBank offers valuable lessons for other corporations and startups. By recognizing each partners’ strengths and focusing on complementary capabilities, corporations can drive innovation and capture new market opportunities. As Timo continues to grow, its story exemplifies how fintech innovation, supported by strategic partnerships, can transform the financial landscape.

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Citations

1. Edtech Agency. (2024). Vietnam aiming for 100% smartphone use by the end of 2024. https://edtechagency.net/vietnam-aiming-for-100-smartphone-used-by-the-end-of-2024/#:~:text=Among%20the%207.3%20billion%20people,by%20the%20end%20of%202024
2. World Bank. (2017). Overview of financial inclusion.
   https://www.worldbank.org/en/topic/financialinclusion/overview
3. Cornerstone Advisors. (2020). Banks and Credit Unions View Fintech Partnerships a Key Growth Strategy for 2020. Gonzobanker.
   https://gonzobanker.com/2020/02/banks-and-credit-unions-view-fintech-partnerships-a-key-growth-strategy-for-2020/
4. World Bank. (2023). Urban population (% of total population) – Vietnam.
   https://data.worldbank.org/indicator/SP.URB.TOTL.IN.ZS?locations=VN

Practices, achievements, and future objectives

Credits

Analysts
Ms April Ong Vano, Head of ESG
Ms Linh Ha, Senior Analyst
Ms Amanda Chan, Analyst

Research
Mr James Tan

Overview

Quest Ventures’ Communication on ESG Progress is a showcase of the firm’s current practices, achievements, and future objectives in enhancing its ESG policy. Environmental stewardship is a core component of Quest Ventures’ investment strategy. The firm actively seeks out and supports startups that prioritise sustainability and address critical environmental challenges. Its social responsibility efforts are centred around creating inclusive and equitable opportunities for all while adhering to global human rights and labour practices. Quest Ventures upholds the highest standards of accountability, transparency, and ethical conduct through its governance framework.

Quest Ventures has engaged with a select number of its portfolio companies to establish a baseline understanding of current practices and intentions to integrate ESG policies. This approach allows the firm to align its strategy and build capacity and knowledge exchange on sustainability. This report includes a showcase of startups that are at the forefront of innovation and impact, addressing critical environmental and social issues. Their successes not only reflect their commitment to sustainability but also demonstrate the potential for positive impact through responsible entrepreneurship.

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Foreword

Mr James Tan
Managing Partner
Quest Ventures

As a venture capital firm, we have the unique opportunity and responsibility to influence the next generation of businesses. At Quest Ventures, we recognize that our investment decisions and the guidance we provide to our portfolio companies can have profound and lasting impacts. This ESG Report reflects our dedication to integrating environmental stewardship, social responsibility, and good governance practices across our organisation, as well as aligning our portfolio companies to embrace ESG initiatives.

Since establishing our Logical Framework Approach in 2019, we have gained a better understanding of practical approaches to measuring our ESG progress. By sharing our ESG journey, challenges, and successes, we aim to foster a culture of openness and continuous improvement. We hope this will inspire and inform our stakeholders, partners, and peers in the industry, encouraging a collective movement towards more responsible and impactful investing. We remain steadfast in our pursuit of excellence in ESG and look forward to continuing this journey together, striving to make a meaningful difference in the world.

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Overview of the firm

Corporate Purpose Statement

Quest Ventures is committed to driving positive change and fostering sustainable development across Asia. The firm’s multi-dimensional ESG strategy pioneers a new standard in venture firms, emphasising support for various social good initiatives. From promoting financial inclusion and gender equality to advancing healthcare and education for all, Quest Ventures strives to create a more equitable society.

The firm’s impact acceleration initiatives encompass advocacy, strategic investments, and partnerships with leading organisations, amplifying the reach and effectiveness of its efforts. By collaborating closely with its venture portfolio and offering world-class benefits to its partners, Quest Ventures catalyses meaningful progress towards shared goals.

Quest Ventures firmly believes that responsible investment goes beyond financial returns, encompassing broader objectives such as environmental sustainability and social responsibility. Through selective participation in global initiatives and proactive measures to address challenges like greenhouse gas emissions, the firm aims to contribute to a more resilient and prosperous future.

Recognising the invaluable contributions of non-profit organisations and charities, Quest Ventures actively supports their endeavours to address pressing social issues. Whether through sponsorship, pro bono board directorships, or in-kind assistance, the firm stands alongside these organisations in their missions to create a better world for all. Quest Ventures’ focus areas include empowering youth, supporting the elderly, and fostering entrepreneurship, reflecting its commitment to driving positive change across generations and communities.

Diversified Portfolio

Quest Ventures manages a diverse portfolio of more than 100 companies across various funds. Its portfolio companies operate in over 150 cities across Asia, and its investments have been instrumental in creating more than 4,400 jobs. The firm’s strategic investments cover a broad range of industries, with a high concentration of companies operating in E-commerce, Software/AI, and FinTech. Quest Ventures’ investment strategy emphasises backing early-stage companies, often providing the first significant investment to help them disrupt their respective industries.

Importance of ESG in Venture Capital

As an investor in early-stage startups, Quest Ventures has an opportunity to integrate ESG policies and practices as portfolio companies begin to shape their businesses. This allows for sustainable business practices to become part of the foundation of positive values, leadership culture, and a mission-driven approach for the startup companies. From the startup industry, technology companies will emerge that scale to have global reach and impact across their value chain, from building their products to widespread use by customers and society at large. Providing capital with a responsible investment approach can significantly contribute to sustainability, solving pressing challenges, and improving lives through innovation and technology. By building a portfolio with ESG factors, a sustainability-themed investing strategy is implemented.

Asia’s potential is ultimately realised in its people. By the end of 2023, Quest Ventures’ portfolio of over 100 venture-backed companies operated in more than 150 cities across Asia, creating employment and advancement opportunities for more than 4,400 employees, while their Enterprise and ESG efforts directly impacted thousands more.

Responsible Investment: Policy and Principles

As signatory to the Principles of Responsible Investment (PRI) supported by the United Nations, Quest Ventures commit to the following where consistent with our fiduciary responsibilities:

Principle 1: Incorporate ESG issues into investment analysis and decision-making processes.
Principle 2: Incorporate ESG issues into our ownership policies and practices.
Principle 3: Seek appropriate disclosure on ESG issues by the entities in which we invest.
Principle 4: Promote acceptance and implementation of the Principles within the investment industry.
Principle 5: Work together to enhance our effectiveness in implementing the Principles.
Principle 6: Report on activities and progress towards implementing the Principles.

On top of the PRI Principles, Quest Ventures adopt a pragmatist philosophy to Responsible Investment, integrating Environmental, Social and Governance (ESG) factors into investment decisions and ownership with the objective of providing better risk-adjusted returns, particularly over the long term. Moreover, the firm upholds the Ten Principles of the UN Global Compact and supports the principles of the Carbon Pricing Leadership Coalition.

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Environmental Impact & Stewardship

Current Practices and Goals

Quest Ventures integrates investment criteria, improving operational policies, and engaging portfolio companies to adopt sustainability practices. Recognising the increasing importance of ESG considerations in venture capital investments, Quest Ventures develops its capacity to enhance and advocate integration, including training, education, and collaboration with ESG experts and networks.

By adhering to the UN Global Compact and UN Principles for Responsible Investment, Quest Ventures incorporates exclusion and ESG criteria into its decision-making process. The firm will not invest in companies deemed to be in breach of the Principles on human rights, labour, environment, and corruption. It ensures that investments across its portfolio remain responsible and consistent with these Principles, and continues to support entrepreneurs in adopting best practices for ESG integration. Quest Ventures is dedicated to continuous improvement in its environmental practices, regularly reviewing and updating policies to reflect emerging best practices, technological advancements, and evolving stakeholder expectations.

Exclusion List

• Activities or materials deemed illegal under host country laws or regulations or international conventions and agreements
• Cross-border trade in waste and waste products, unless compliant to the Basel Convention and the underlying regulations
• Destruction of High Conservation Value areas
• Forced Labour or Child Labour
• Pornography or Prostitution-related activities
• Production or trade of illegal drugs or narcotics
• Unsustainable agriculture practices, farming and fishing methods
• The development, production or trade of Weapons

Portfolio Engagement

The majority of Quest portfolio companies surveyed for the report do take into consideration environmental implications of their business operations to a certain extent or have expressed interest to learn more about it. However, the degree to which each implements environmental responsibilities varies from company to company. While the actions taken are generally limited to date due to the lack of resources as the nature of early stage startups, there are signs of efforts to enact environmental factors in their operations.

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Social Responsibility & Impact

Social Responsibility Policy

Human Rights and Labor Practices

• Respect for Human Rights: Ensure that all portfolio companies adhere to international human rights standards, such as the UN Guiding Principles on Business and Human Rights.
• Fair Labor Practices: Promote fair labour practices, including fair wages, reasonable working hours, and the right to collective bargaining.
• No Forced or Child Labour: Prohibit the use of forced labour, child labour, and any other forms of modern slavery in the operations of portfolio companies.

Health and Safety

• Safe Working Conditions: Ensure that all portfolio companies provide safe and healthy working conditions for their employees, adhering to relevant health and safety regulations and standards.
• Employee Well-being: Promote employee well-being through wellness programs, mental health support, and work-life balance initiatives.

Diversity, Equity, and Inclusion (DEI) initiatives

Inclusive Workplace: Foster inclusive workplace by promoting diversity in terms of gender, race, ethnicity, age, disability, and sexual orientation.

Equal Opportunity: Ensure equal opportunity in hiring, promotion, and compensation practices across all portfolio companies.

DEI Training: Provide diversity, equity, and inclusion training for employees and portfolio companies.

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Community Engagement & Partnerships

Local Community Support: Encourage employees and portfolio companies to engage with and support local communities through initiatives such as job creation, local sourcing, and community development projects.

Philanthropy and Volunteering: Promote corporate philanthropy and employee volunteering programs to support social causes and community initiatives.

Social Impact Accelerator: Quest Ventures, in partnership with the Singapore Centre for Social Enterprise (raiSE), launched the Social Impact Accelerator which aimed to support budding impactful startups by providing financial and non-financial support to help them improve their competencies and gain access to regional and global markets. Through the acceleration program, startups companies have collectively pitched to over 200 investors, corporates, government organisations, and other stakeholders across Asia. Some companies have also successfully raised their next funding round within a few months and gained footholds in markets such as Australia, Malaysia, Indonesia, and Vietnam.

Social Impact Catalyst: Quest Ventures supports the Social Impact Catalyst, a non-profit organisation, across Southeast Asia. The firm believes in the value of developing the skills and mindsets of Asia’s youth. Through practical projects and experiences, youths are empowered to use their talent and skills for the community. The young men and women are ready to be catalysts for positive change in the future.

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Portfolio Engagement

Quest Ventures portfolio companies have made significant progress with their social responsibility efforts, implementing internal practices and policies that reflect their commitment to social responsibility and fostering an inclusive workplace.

Internal practices

• Benchmarking with industry remuneration, implementing flexible working hours and hybrid remote work arrangement.
• Complying with the Singapore’s Ministry of Manpower employment requirements and pro-hiring of seniors.
• Introducing permanent hybrid work arrangements, bizSafe best practices and well-being program.
• Having company policies and HR guidelines in place to ensure fair wages, benefits to employees in accordance with the law.
• Providing fair remuneration and fostering an inclusive and empowering work environment.
• Implementing a hiring process that promotes diversity and inclusion.
• Conducting an annual employee satisfaction survey to gather feedback and making adjustments based on the input received.

Community initiatives

• Donating usable devices to the B40 community regularly.
• Donating food when natural disasters hit within the local region.
• Working with beneficiaries and NGOs, hosting groups for educational activities.
• Tree planting, building capacity/capability for non-profits.

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Governance Principles and Practices

Current Practices

Quest Ventures believes that strong governance is the foundation of sustainable success. Its governance principles and practices are designed to promote accountability, transparency, and ethical behaviour across all levels of the organisation. Quest Ventures is committed to upholding the highest standards of governance to ensure that its operations align with its values and the interests of its stakeholders.

At Quest Ventures, the Compliance Manual serves as the cornerstone of its governance practices, outlining the ethical standards and expectations for all employees. It provides clear guidelines for decision-making and behaviour, ensuring that all actions align with the company’s core values. Some of its key components include the Code of Ethics and Professional Conduct, Confidentiality, Data Privacy and Protection, Prohibited Market Conduct and Insider Trading, Anti-Bribery and Corruption, Anti-Money Laundering and Countering the Financing of Terrorism, Whistleblower Policy, and Complaints Handling.

By adhering to these guidelines, Quest Ventures ensures that all employees operate within a robust governance framework that promotes ethical behaviour, compliance with laws and regulations, and a culture of integrity and accountability.

Portfolio Engagement

Almost 90% of the respondents from the Quest portfolio conduct regular reporting to their Boards, highlighting their commitment to maintaining transparency and strong governance practices. However, the integration of specific ESG-related commitments into these reports remains limited at this stage of startup development. Most companies have yet to incorporate commitments related to sustainable development, human rights, or climate change into their regular reporting frameworks. While there is awareness of these critical issues, the formalisation and systematic integration into business practices are still evolving.

This ongoing effort reflects the dynamic nature of ESG practices within the portfolio, underscoring both the progress made and the potential for further development. As these companies continue to mature, greater integration of sustainable development, human rights, and climate-related commitments is anticipated, reinforcing their dedication to long-term sustainability and ethical business practices.

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Startups Showcase

Carousell

• Carousell is the leading multi-category, multi-brand platform for secondhand e-commerce in Greater Southeast Asia. Their online marketplace simplifies the process of buying and selling preloved items.
• Carousell published their own Circular Economy Impact Report in 2023.
• Carousell’s users avoided 116,577 tonnes of carbon emissions in 2022, the equivalent to 5.3 million trees absorbing CO2 per year.

ERTH

• ERTH is a provider of e-waste recycling services. They collect and recycle electronic waste from households and businesses through freelance gig economy workers, providing clients with convenient, fast, and good value for recyclable electronics.
• Through ERTH’s e-waste recycling initiatives, 1,500,000 kg of e-waste was successfully diverted away from landfills and the informal sector.

PackAge+

• PackAge+ creates sustainable packaging from recycled plastic bottles and glass, enabling businesses to ship products with lower CO2 emissions. This waterproof packaging can be reused over 50 times, saving at least 1.25kg of CO2 per use.
• “We track every step in the manufacturing process of recyclable packaging. We actively develop relevant software products and collaborate with related institutions to ensure that the reduced carbon emissions comply with the 14067 standards.”

Ion Mobility

• Ion Mobility designs, engineers and manufactures next-generation smart electric motorcycles and charging and energy storage solutions.
• Their vision is to lead the region’s transition towards a low-carbon economy across Southeast Asia.
• Ion Mobility’s flagship ION M1-S electric motorbike features:
  • 150 km range
  • 4.3 kWh capacity
  • Charge up to 100% in 3.5 hours
  • Top speed of 105 km/h
  • 26 litres of under the seat storage

GajiGesa

• Gajigesa is a financial wellness application intended to improve the financial security of employees. The application encourages employees to participate in economic activities which enable them to become financially independent.
• GajiGesa’s Earned Wage Access (EWA) allows employees to access funds during emergencies, providing them with peace of mind and increased financial security.

Cerebra AI

• Cerebra AI is an early stroke detection software. The company uses generative AI to detect acute ischemic stroke within 5 minutes using non-contrast CT, enabling hospitals to quickly diagnose and treat stroke patients in the critical time window.
• CerebraAI Heatmap uses Generative AI to quickly analyse Non-contrast CT (NCCT) cases, identifying areas and potential abnormalities within brain tissues.

Dolbom Dream

• Dolbom Dream is the manufacturer of a smart vest intended for people with developmental disabilities. The vest utilises deep touch pressure therapy to help them alleviate stress and anxiety through artificial intelligence-controlled air pressure.
• Ergonomically designed with Deep Touch Pressure effect, the smart vest provides psychological comfort through the feeling of being hugged by automatically inflating air when the wearer feels anxious or in a stressful situation.

Vulcan Augmetics

• Vulcan Augmetics delivers AI-powered and affordable prosthetics solutions for emerging markets. They developed the world’s first multi-grip myoelectric hand for amputees.
• The Vulcan Myoelectric Multi-Grip Hand offers 3 adjustable thumb positions, 06 practical grip options, and 360-degree wrist rotation. With its intuitive control through EMG technology, the Vulcan hand adapts to the user’s unique muscle signals in just 1 minute.
• Vulcan Augmetics actively takes action to reduce their carbon emissions by lowering the number of clinic visits per user, which cuts carbon through travel costs.

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Journey Forward

Looking ahead, Quest Ventures is committed to further advancing its ESG initiatives and taking steps forward to reach its sustainability goals. The firm will continue to collaborate with leading organisations and experts to leverage their knowledge and best practices. Quest Ventures will advocate for responsible investment and aspire to be leaders and partners for the investment community to follow. The firm strives to create value and positive change for its investors, entrepreneurs, and the broader startup community. Together, Quest Ventures aims to build a more sustainable and equitable future.