Artificial intelligence is changing the world of investing. There have been tools in the past that could make predictions from data. However, many tools require humans to manage the data inputs and outputs. With AI, predictions that once required months to generate can now be handled by autonomously operating computers. This has led to the creation of Robo-advisors. Robo-advisors are increasingly accepted by millennials interested in finding the best return on their investment while leveraging the latest technology. Fintech startup MoFin is the creator of an AI-automated asset investment platform. They have over 29 years of market data in markets such as the United States, the UK, Japan, and even Hong Kong. Therefore, they have achieved an average ROI of 10-15% annually, with a high of 20-30% for higher-risk investments.
MoFin – AI Automated Trading Algorithm
MoFin has developed patterns by incorporating AI to analyze and simulate big data in major global financial markets for over 29 years. It uses improved datasets and algorithms to deliver solutions for higher returns efficiently. MoFin’s automated trading algorithm is the only patent registration solution in Korea and introduces innovative algorithms to the market through conscientious R&D.
MoFin’s AI asset investment platform uses algorithms to automatically perform many investment tasks typically done by human financial advisors. Therefore, everyday investors can now use the service since it is far less expensive than a human advisor. New users can sign up by filling out a detailed questionnaire online about their financial goals, risk tolerance, and investment timeframes. With this information, MoFin uses its algorithms to develop an asset allocation that fits the customer’s needs. MoFin first collects information from the client regarding their financial situation, goals, and investment interests via an online survey. Then MoFin will generate a list of appropriate financial solutions based on their algorithm. Once the portfolio is created, MoFin also manages it by automatically rebalancing it to align with the desired target allocation.
How to Set-Up MoFin
1) investor profiling (17 questions) – MoFin will ask the investor 17 questions to determine their risk tolerance.
2) asset distribution – Investors can invest from $100. Therefore, asset allocation will be different based on the investment volume. MoFin offers five types of investment packages.
3) portfolio selection – MoFin will select the portfolio automatically for the best investment for the investor.
4) trading execution – MoFin will perform all AI-automated trades for the investor.
5) portfolio rebalancing – MoFin will adjust by rebalancing the portfolio to maximize returns. Processed results can be re-balanced in real-time to maintain stable profits.
Why Use a Robo-Advisor?
The Robo-advisory industry is expected to grow to $2.5 trillion by the end of 2023. Instead of working with a broker or financial advisor, investors can use software for their investment needs. This trend continues to grow as more and more people become more open to using Robo-advisors. In addition, the Robo-advisory industry continues to improve and will become even more sophisticated. Best of all, using a Robo-advisor has proven to be a much lower-cost alternative to traditional investing.
Another benefit of using a Robo-advisor compared to a human advisor is that Robo-advisors have no conflict of interest. MOFIN focuses on human error to find the best possible investment for the investor. Furthermore, human advisors tend to push investments to their clients that pay a higher commission to the advisor.
MoFin’s Fintech EVP JoonMo Kim said that currently, MoFin is focusing on the B2B market but will be adding a B2C model soon. They will target the Korean market to start but have plans to expand into the United States and EU markets shortly.
