Hong Kong-based wealth technology company Quantifeed will expand to Singapore this quarter, Citywire Asia can reveal.
Quantifeed was founded in 2013 by two former investment banking executives, Alex Ypsilanti and Ross Milward.
It provides white-labelled digital wealth management solutions to financial intermediaries, including private banks and insurance companies.
Ypsilanti said the firm is looking to staff about 10 people in the new office within the first year to support clients in Southeast Asia, with immediate focus on Singapore and Malaysia.
Quantifeed, which works with the private and premier banking divisions of five banks in the region including Taiwan’s Cathay United Bank, incorporated a subsidiary in Singapore last November.
Now, it’s planning to engage financial intermediaries in Indonesia, the Philippines and Thailand in the next few years.
The company’s existing digital wealth management platform automates portfolio management based on the goals and savings plans of a client.
While the platform typically utilises the portfolio construction provided by the bank, it also provides customised portfolios by using existing products on the private bank’s funds platform, as well as exchange-traded funds and other listed securities.
‘There’s a big gap considering that these financial institutions struggle to build the required technology quickly and economically enough,’ Ypsilanti said.
Quantifeed is currently working with a Malaysian bank to include fixed income and structured products in the tool.
The platform also automates client risk profiling and client engagement by sending push notifications, news and alerts about their investments through existing SMS gateways and other messaging services.
‘Financial institutions for too long have been pushing product and not focusing enough on solving people’s problems.
‘At the end of the day, as individuals we are less interested in what’s in our portfolio than we are in whether it is helping us achieve our life goals.
‘We ask ourselves questions such as “How can I retire as quickly as I want to? How can I afford to send my kids to Harvard?” Answering these questions should be at the heart of every successful digital wealth service,’ he concluded.