12 December 2017
visit www.avoka.com

Nutmeg introduces private banking for regular people

08 October 2012  |  7114 views  |  0 Hands on keyboard

Nutmeg, an online investment manager promising to offer private banking-type services for everyone, has launched in the UK.

Most Brits do not believe that they have enough money with which to invest, while more keep their savings in cash at home than in stocks and shares ISAs, according to a Nutmeg-commissioned survey.

The start-up is hoping to take advantage of this with its online service for anyone with at least £1000 to invest. Users set their risk level, timeframe and contributions and Nutmeg staffers build and manage discretionary, diversified portfolios for them. Customers can open and transfer ISAs, start as many funds as they like and top up, withdraw or transfer their money at any point.



The company claims that its service offers a more flexible, straightforward approach for Brits wanting to invest in stocks and shares. It also says it is cheaper, with annual management charges starting at one per cent, compared to the industry average of 1.36%. A loyalty scheme, where users can collect 'nutmegs' through referrals and pounds invested, lets users reduce the fee further, down to 0.3%.

FSA-regulated, Nutmeg is officially launching following a private beta period and the completion of a £3.4 million funding round led by UK-based venture capitalists Pentech and Daniel Aegerter, the Swiss chairman of Armada Investment Group.

Another investor, Tim Draper - an early Skype and Hotmail backer - says: "Financial services is one of the few industries to have withstood the Internet revolution. I'm convinced that Nutmeg is the right company to bring democracy and transparency to a sector which is ripe for reform."

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit http://info.nice.comvisit www.atos.netvisit www.response.ncr.com

Who is commenting?

Top topics

Most viewed Most shared
Saxo Bank's 'Outrageous Prediction': Bitcoin to peak at $60k next year before spectacular crashSaxo Bank's 'Outrageous Prediction': Bitco...
11788 views comments | 7 tweets | 7 linkedin
Deutsche Bank paper hails 'huge' blockchain potentialDeutsche Bank paper hails 'huge' blockchai...
8716 views comments | 15 tweets | 21 linkedin
Santander UK poaches Barclays innovation chief Michael HarteSantander UK poaches Barclays innovation c...
7078 views comments | 8 tweets | 17 linkedin
Alior Bank to use Open API platform and accelerator to create fintech marketplaceAlior Bank to use Open API platform and ac...
6824 views comments | 20 tweets | 11 linkedin
PSD2: Laying the regulatory foundation for a new age in paymentsPSD2: Laying the regulatory foundation for...
6769 views comments | 17 tweets | 35 linkedin

Featured job

Competitive
London, UK (or flexible)

Find your next job