The venture firm’s second fund is focused on AI startups in the care economy, addressing a range of areas that will improve the overall quality of Americans’ lives.
Magnify Ventures, an early-stage venture capital firm focused on the care economy, has launched Fund II with $46.6 million closed to invest in technology companies applying artificial intelligence to health, wealth, family care and the systems that support modern households.
The Los Angeles-based firm said Fund II will back category-defining companies building AI infrastructure for a care economy that has long been fragmented, underbuilt and underinvested.
The fund is backed by returning investor Pivotal Ventures, a Melinda French Gates organization. New investors include Jordan Park and Unum, with financing from the California Infrastructure and Economic Development Bank, known as IBank. Foundations, funds of funds, family offices and business leaders also participated.
Magnify Ventures was founded by Julie Wroblewski and Joanna Drake with a thesis that caregiving, family support, aging, parenting, household management and financial resilience represented a major investable market that had not received sufficient venture capital attention.
With Fund II, the firm is expanding its thesis into applied AI, targeting companies that can replace outdated, disconnected care systems with more intelligent infrastructure.
“Magnify’s investment in the care economy is an investment in one of society’s most pressing issues: family health and well-being,” said Erin Harkless Moore, managing director of Investments at Pivotal Ventures. She noted that caregiving is a $648 billion market opportunity and said investing in caregiving benefits women, families and the broader economy.
AI and the Next Phase of the Care Economy
The care economy includes the paid and unpaid work required to support families across life stages, from pregnancy and parenting to elder care, health management, household coordination, financial planning and end-of-life support.
While these responsibilities are central to family life and economic stability, many of the systems around them remain highly manual, fragmented and difficult to navigate.
Magnify Ventures sees AI as a catalyst for modernizing those systems. The firm said Fund II will focus on companies using AI to reduce the invisible labor of running a household, improve quality and reduce costs across health and home systems, and modernize fintech infrastructure that helps families build and protect wealth.
That investment strategy reflects a broader shift in venture capital interest. According to The Holding Co. in partnership with Pivotal Ventures, venture interest in the care economy has accelerated by 45% over the last four years, with more than $26 billion invested in over 700 companies since 2015.
Magnify Ventures’ first fund invested across parenting, aging, household optimization and financial resilience. The firm says its deeper focus on families and caregiving gives it a competitive edge beyond the traditional boundaries of the care economy, extending into healthcare, consumer technology, financial services and workplace infrastructure.
“We’re at a real inflection point in some of the world’s largest, most underleveraged markets: care, wealth, aging, and the broader health, consumer, and financial systems that shape family life,” said Wroblewski, managing partner of Magnify Ventures. “AI is the key to unlocking new opportunities in markets that have been stagnant for decades, inspiring innovative companies to create generational change.”
Backing Founders Building Family-Centered Infrastructure
Several Magnify-backed founders illustrate the firm’s focus on AI infrastructure for complex family needs.
Alix, led by co-founder and CEO Alexandra Mysoor, is applying AI to estate settlement, a process the company says can take an average of 900 hours and 18 months to complete. As more than $120 trillion is expected to transfer across generations, Alix is working to simplify the administrative, financial and practical burdens families face after a death.
Joy Parenting Club, led by co-founder and CEO Alan Charming Chan, is using AI to bring expert parenting guidance, personalized support and family resources into one place. The company aims to replace the fragmented experience of relying on numerous apps, websites and services for parenting help.
Savi Security, led by co-founder and CEO Patrick Coughlin, is building a protection platform for families facing rising digital fraud. The company says digital fraud costs Americans more than $100 billion annually and is among the fastest-growing and most financially damaging crimes in the country.
These companies reflect Magnify Ventures’ view that the future of the care economy will require more than consumer-facing apps. It will require infrastructure that helps families, caregivers, employers, healthcare providers and financial systems operate more efficiently.
California IBank Supports Fund II
California IBank’s participation through its Venture Capital Program highlights the role public and private capital can play in supporting emerging fund managers and innovation-driven companies.
“IBank’s Venture Capital Program was created to expand access to capital for innovative entrepreneurs and emerging funds driving California’s future economy,” said Andy Nakahata, executive director of California IBank.
He said Magnify Ventures is identifying founders who are addressing significant challenges facing families, caregivers, and communities as essential participants in the care economy.
Nakahata added that as artificial intelligence reshapes industries, the care economy represents a compelling opportunity for innovation, job creation and meaningful benefits for families.
Building an Ecosystem Around Care Innovation
In addition to investing, Magnify Ventures is working to build a broader ecosystem around the care economy.
The firm is the founding producer of the Care Summit, an event that brings together founders, investors and limited partners focused on care innovation. The Care Summit is scheduled to return to San Francisco on February 2, 2027.
With Fund II, Magnify Ventures is positioning the care economy as a major frontier for AI-driven infrastructure.
By backing founders working across aging, longevity, women’s health, household management, family finance and digital protection, the firm is betting that the next wave of generational companies may emerge from the systems families rely on every day.
