Digital investment manager Scalable Capital receives FCA approval

Source: Scalable Capital

Scalable Capital, a new digital investment manager, announced today that it is ready to launch in the UK after receiving its regulatory approval from the Financial Conduct Authority (FCA).

Investors can now subscribe to the waiting list on the website before a public launch later this year.

Scalable Capital’s proprietary technology dynamically allocates each investor’s portfolio based on a quantitative measure of their risk appetite. The technology uses forward-looking projections, based on recent market developments, to measure the level of risk in the ETF products the client is invested in, and then reallocates their portfolio according to their risk limit. In contrast to traditional wealth managers, Scalable Capital adopts a fluid approach to the weighting of asset classes in its portfolios.

This allows investors to capitalise on markets where risk is rewarded, and limit exposure to excess risk in more volatile conditions. This state-of-the-art technology is an institutional class investment product, available, for the first time, to retail investors, at a fraction of the cost. 

“Our unique and dynamic risk management technology takes the digital investment industry to the next level. Our technology not only provides cost-efficient access to capital markets products, but also offers UK retail investors a more sophisticated investment methodology.” said Adam French, co-founder and Managing Director of Scalable Capital.

“Our globally diversified ETF portfolios are tailor-made to match each customer’s individual risk preference, and are monitored and optimised around the clock. This approach gives our customers the peace of mind they deserve. And all of this comes at a very low fee.” said Dr. Ella Rabener, co-founder and CMO of Scalable Capital.

Scalable Capital ensures that performance is not eroded by unnecessary costs. The total cost is 0.75 percent p.a. of the average invested capital. This includes account management and custody fees, as well as all trading costs for portfolio adjustments. For comparison, the total costs of using traditional investment management services average around 2 - 3% in the UK (which includes total-expense-ratios and upfront fees of funds).
 

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