Name: Fintech Insights - Unlocking Hedge Fund Strategies for Retail Investors
Uploaded: 2024-08-07T11:26:15.752Z
Duration: 294.83
Description: Fintech Insights explores hedge fund strategies with retail investors with Dr Fabio Dias, Managing Partner at Stalwart Holdings during the Centre Stage.

Fintech Insights - Unlocking Hedge Fund Strategies-.mp4

Fintech Insights - Unlocking Hedge Fund Strategies-.vtt

ENGLISH

{{00:00:13}}
So the platform that we developed
has a lot of transparency in

{{00:00:18}}
the investments that we created.

{{00:00:20}}
So someone can.

{{00:00:21}}
is advised to, through their financial
advisors, to look for model portfolios.

{{00:00:28}}
That's the key word that I want to use.

{{00:00:30}}
And then they go in the platform
and they will see what is the

{{00:00:33}}
components of those model portfolios,
what is they are investing on.

{{00:00:37}}
So for example, if I'm a
conservative investor, do I have

{{00:00:40}}
bonds in inflation linked bonds?

{{00:00:42}}
Or if I'm an aggressive
investor, AI type stocks?

{{00:00:46}}
And in that platform, they will see
the components of those investments

{{00:00:50}}
and how they have performed over time.

{{00:01:00}}
So we are very much focused
on keeping a liquid portfolio.

{{00:01:04}}
By liquid, I mean someone can buy and
sell in and out quickly without being

{{00:01:09}}
stuck, for example, in other hedge fund
products like private equity, where

{{00:01:14}}
someone could wait up to one, two,
three months to get their money back.

{{00:01:18}}
That is something that is very
important in this platform.

{{00:01:21}}
Also, to ensure that this is feasible,
we keep high cash positions, and we

{{00:01:26}}
only invest in blue chip stocks like
Nvidia, Facebook, or also blue chips

{{00:01:31}}
in the UK, like Ligo in general, and
other big names that are out there.

{{00:01:36}}
That is different from other hedge funds
where you can see they can go into more

{{00:01:40}}
esoteric assets like private equity or
like tiny companies where there's a lot

{{00:01:44}}
of risk there involved, which is would
not be suitable for retail investors.

{{00:01:56}}
So the main targets of my platform are
the financial advisors and the investors

{{00:02:00}}
who are savvy with their money, could
compare my platform to a B1Q of finance.

{{00:02:06}}
So in B1Q, what do you expect to see?

{{00:02:08}}
You expect to see Either the
builders, the carpenters, or

{{00:02:11}}
people who are very good at DIY.

{{00:02:13}}
But you don't expect people like me, who
know nothing about DIY, to go to B& Q.

{{00:02:18}}
Same thing with my platform, you
would expect people who are either

{{00:02:22}}
financial advisors, or they are
people who know a lot about finance,

{{00:02:26}}
and they can handle themselves
very well with their own finances.

{{00:02:30}}
That's the offering that we have for
them, and that enables them to understand

{{00:02:34}}
very well what is behind there, just by
looking at our videos, because we have

{{00:02:38}}
lots of informative videos, we have blogs,
we have informative content that will

{{00:02:43}}
make them have a good decision, but they
still need to understand what's there.

{{00:02:54}}
We are quite transparent
we show in our charts.

{{00:02:58}}
Even in the main page on our
website, we already have our risks,

{{00:03:02}}
a comparison to FTSE 100, S& P 500.

{{00:03:05}}
We have comparisons to benchmarks,
comparison to other similar services, what

{{00:03:09}}
is called the model portfolio services.

{{00:03:11}}
So we do comparison, we regularly
compare us to the industry.

{{00:03:16}}
And that makes sure that it's a very
transparent situation for the investors,

{{00:03:21}}
for the users on the platform, that they
are getting something that makes sense.

{{00:03:25}}
That transparency is our main focus,
so we are transparent on fees as well,

{{00:03:29}}
we are transparent on returns, we send
their main monthly newsletters explaining

{{00:03:35}}
what happened behind the strategies,
what's happening behind the scene.

{{00:03:38}}
so they can have a very good view of
what's going on with their investments.

{{00:03:50}}
Yeah, so the two main regulatory points
that we had to focus on was the consumer

{{00:03:55}}
duty and also the requirement on marketing
of readily realizable securities.

{{00:04:00}}
Readily realizable security is
a term that the FCA uses for

{{00:04:04}}
something that you can actually
buy and sell at any point in time.

{{00:04:06}}
You can just go in and out as you wish.

{{00:04:09}}
Retail investors should only have
access, unrestricted access, to something

{{00:04:14}}
that is ready, realizable security.

{{00:04:16}}
So things like insurance bonds,
catastrophe, or other type of more

{{00:04:20}}
esoteric hedge fund strategies aren't
for them and we are not covering those.

{{00:04:25}}
From the point of view of the consumer
duty, we are keeping, making sure that the

{{00:04:31}}
platform has all the information required
for the investors to make a good decision.

{{00:04:38}}
And they can be well informed, they
can understand what we are doing

{{00:04:42}}
from just watching our videos and
reading the content in our platform.

So the platform that we developed
has a lot of transparency in

is advised to, through their financial
advisors, to look for model portfolios.

And then they go in the platform
and they will see what is the

components of those model portfolios,
what is they are investing on.

So for example, if I'm a
conservative investor, do I have

Or if I'm an aggressive
investor, AI type stocks?

And in that platform, they will see
the components of those investments

So we are very much focused
on keeping a liquid portfolio.

By liquid, I mean someone can buy and
sell in and out quickly without being

stuck, for example, in other hedge fund
products like private equity, where

someone could wait up to one, two,
three months to get their money back.

That is something that is very
important in this platform.

Also, to ensure that this is feasible,
we keep high cash positions, and we

only invest in blue chip stocks like
Nvidia, Facebook, or also blue chips

in the UK, like Ligo in general, and
other big names that are out there.

That is different from other hedge funds
where you can see they can go into more

esoteric assets like private equity or
like tiny companies where there's a lot

of risk there involved, which is would
not be suitable for retail investors.

So the main targets of my platform are
the financial advisors and the investors

who are savvy with their money, could
compare my platform to a B1Q of finance.

You expect to see Either the
builders, the carpenters, or

But you don't expect people like me, who
know nothing about DIY, to go to B& Q.

Same thing with my platform, you
would expect people who are either

financial advisors, or they are
people who know a lot about finance,

and they can handle themselves
very well with their own finances.

That's the offering that we have for
them, and that enables them to understand

very well what is behind there, just by
looking at our videos, because we have

lots of informative videos, we have blogs,
we have informative content that will

make them have a good decision, but they
still need to understand what's there.

We are quite transparent
we show in our charts.

Even in the main page on our
website, we already have our risks,

We have comparisons to benchmarks,
comparison to other similar services, what

So we do comparison, we regularly
compare us to the industry.

And that makes sure that it's a very
transparent situation for the investors,

for the users on the platform, that they
are getting something that makes sense.

That transparency is our main focus,
so we are transparent on fees as well,

we are transparent on returns, we send
their main monthly newsletters explaining

what happened behind the strategies,
what's happening behind the scene.

so they can have a very good view of
what's going on with their investments.

Yeah, so the two main regulatory points
that we had to focus on was the consumer

duty and also the requirement on marketing
of readily realizable securities.

Readily realizable security is
a term that the FCA uses for

something that you can actually
buy and sell at any point in time.

Retail investors should only have
access, unrestricted access, to something

So things like insurance bonds,
catastrophe, or other type of more

esoteric hedge fund strategies aren't
for them and we are not covering those.

From the point of view of the consumer
duty, we are keeping, making sure that the

platform has all the information required
for the investors to make a good decision.

And they can be well informed, they
can understand what we are doing

from just watching our videos and
reading the content in our platform.

Fintech Insights

Expert Insight

Fintech Insights explores hedge fund strategies with retail investors with Dr Fabio Dias, Managing Partner at Stalwart Holdings during
the Centre Stage.