Michael Gilroy, the former head of fintech investments at Coatue, and Gokul Rajaram, a seasoned tech executive and prolific angel investor, are joining forces to launch a new venture firm. According to a Bloomberg report, the yet-to-be-named firm is set to begin fundraising for its debut fund, targeting a substantial $400 million to $500 million, early next year.

The new venture firm will focus on investing in US-based early-stage fintech and software startups, leveraging the expertise of its founders. Gilroy, who invested in several fintech companies during his tenure at Coatue, including Arta Finance, Melio Solution, Pinwheel, and Mercury, brings a wealth of knowledge in the fintech space. Rajaram, with his impressive track record of backing over 285 startups, including companies where he serves as a board member, such as Coinbase, Pinterest, and Trade Desk, will provide valuable guidance and network effects.

This development is not an isolated incident, as another former Coatue investor, Kris Fredrickson, is also planning to launch his own firm, Verified Capital. According to The Wall Street Journal, Fredrickson aims to raise around $150 million for his debut fund. Fredrickson, who left Coatue in 2022, was the lead partner in investments in Chainlysis, Instacart, and Root Insurance, according to PitchBook data.

The emergence of these new venture firms, led by experienced investors, signals a growing trend in the fintech and venture capital landscape. As the fintech industry continues to evolve, investors are recognizing the potential for innovation and disruption in the space. The debut funds of these new firms will likely be highly sought after by early-stage startups, and their success could have a significant impact on the broader fintech ecosystem.

The formation of these new venture firms also highlights the talent exodus from established firms, as investors seek to capitalize on their expertise and networks by launching their own ventures. This trend is likely to continue, as investors increasingly look to create their own firms, rather than working within the constraints of larger organizations.

As the fintech industry continues to grow and evolve, the launch of these new venture firms will be closely watched by investors, startups, and industry observers alike. The success of these firms will depend on their ability to identify and nurture innovative startups, and to provide strategic guidance and support to help them scale.

In the coming months, the fundraising efforts of Gilroy and Rajaram's new firm, as well as Fredrickson's Verified Capital, will be closely monitored. Their success will have significant implications for the fintech industry, and could pave the way for further innovation and disruption in the space.