Aleda Capital, co-founded by directors Jason Holdsworth and Neil Shellshear, has launched an automated investment platform with five managed discretionary accounts (MDAs).
Speaking to InvestorDaily, Mr Shellshear said the platform would cut back on lengthy meetings with wealth advisers by having clients complete the onboarding process online.
“We listened to what our clients wanted, and they wanted a simplistic approach that was fast and efficient, keeping in mind that their compliance is all in order as well,” Mr Shellshear said.
A process that would normally take days or weeks with one or more face-to-face meeting with a wealth adviser would be reduced to 15 minutes by having clients fill out information online themselves, Mr Shellshear said.
The platform had been built for ease of accessibility of the client in mind with hopes to appeal to a broad range of investors, though Mr Shellshear identified the target demographic as those from 35-55 years of age.
In lieu of face-to-face meetings, clients would be able to contact Aleda Capital through a variety of digital means such as email, webchat, phone or Skype – although face-to-face meetings were not off the table.
“We built this for the client. So if the client feels they need to call us five times during the day and ask us questions, we’re happy to take that type of client,” Mr Shellshear said.
“We’re also happy to take the type of client on board that’s happy to do it all themselves. They can choose how to deal with Aleda Capital, so it’s completely up to them.”
Mr Shellshear also said the reduced meeting time with advisers also cut out a number of client costs.
“Traditionally with that process, there would be a fee attached to do a statement of advice. For all clients that come on board with Aleda Capital, we have no fees attached to that,” he said.
“The clients won’t pay any money at all until they’ve invested into the strategy.”
The direct-to-client platform would also mean that advice costs and ongoing service fees would not be charged to clients, who would only pay for management and performance fees.
Mr Holdsworth said that the eradication of fees was an effort to improve transparency in the industry and build long-term relationships with clients.
After creating an account on the website, clients would fill in details for a six-part questionnaire on their personal information, financial situation, and goal and risk profile. The client would then review the application and then submit it to be reviewed by Aleda Capital, along with identification documents.
Having launched 12 months ago, Mr Shellshear said Aleda Capital’s approach was based on three core values.
“Simplicity, from a client’s perspective; transparency of what managed accounts are and how the process is done; and diversification. We wanted to make sure we can offer a diversified set of strategies for all clients across the risk profiles, from conservative all the way to aggressive,” said Mr Shellshear.
