MoneyFarm: corporate prez

Build It UpCagliari, 9 Maggio 2014

Why MoneyFarm

Allow people to take control of their savings and manage them in a simple and efficient way

What is MoneyFarm

A simple Web Platform offering personalized advisory and execution of Exchange Traded Funds portfolios

AKAThe Smart and Simple Way to Invest.

The Problem

It is very hard to properly invest your money.

The Problem

The industry offers inefficient solutions to small-medium savers because of conflict of interest and high cost.

The Problem

Most of the innovation in Finance has remained at corporate level and never reached consumers.

The Problem

Banks lost touch with costumers (as revenue was generated somewhere else) hence they’ve lost the ability to deliver a good customer experience.

It is a Trillion $ Problem

Developed Market Cap by Industry in $ bln

Finance7,721

Cons. Discr.

Inf TechIndustrial

4,307

Health Care3,971

Cons. Staples

Energy3,363

Material2,030

Telecom1,586

Utility1,303

Source; MoneyFarm, BBG

Asset Management in Particular

Source; MoneyFarm, Deutsche Bank, Assogestioni – Dec 2013

Country Asset size ($ bn) % shareUnited States 39,648 45%

United Kingdom 7,274 8%Japan 6,520 7%France 2,420 3%

Germany 2,037 2%Italy 1,896 2%

Netherlands 1,643 2%Switzerland 1,458 2%

Others 24,299 28%Total 87,195 100.0%

Already Some WinnersEmerging Financial Services Metrics

97

Company Gross Volume Y/Y Growth # Users

$15B+

Gross Payment Volume

Processed to Date

~3x Y/Y 4MM+

Merchants

$1.8B+

Loans Issued to Date ~3x Y/Y

137K+

Loans Funded to Date

$500MM+

Gross Payment Volume of

bills Per Year

~17x Y/Y 8MM+

Registered Users

18MM+ Cumulative

Transactions ~5x Y/Y

11MM+

Bitcoins in Circulation

$29B+

Gross Mobile Payment

Volume Per Year

~2.5x Y/Y 20MM+

Registered Users

Square Y/Y growth excludes partnerships. Lending Club loans issued to date as of 5/25/2013. Bitcoins data as of 5/25/2013, per Blockchain.

Source: Square, LendingClub, Check, Blockchain.info, JP Morgan Chase. Source; KOBC Internet Trends 2013, Mary Meeker

Our Solution

How we’ve developed the idea

• Take the best thing available and repackage it in a simple and efficient way using technology to scale and fulfill a great customer experience;

Lower Costs Unbiased Advice Transparency and Simplicity Asset Allocation with ETFs Direct distribution channels

This is Traditional Innovation

Source; Clayton M. Christensen, the innovator’s dilemma

Execution Milestones

Get ready: books, blogs & people.


Find a Team and define the mission.


Find the money; we’ve raised ca Eur 4.5mln in three rounds.


Understand the customer and Iterate your product


If necessary go back to step 1

Career Choice

We tend to overestimate the effect of a technology in the short run and underestimate the effect in the long run. Are you?

Career Choice

Are you correctly estimating your career risks if creating a Startup?

Career Choice

Are you building the skills to be a successful leader?

Career Choice

Bottom line – it’s a rational decision...

Why today is the best time

This pattern of investment and technological development has taken place five times since the early industrial revolution.

Source; Technological Revolution and Financial Capital. C. Perez

Useful Books

• The Monk and The Riddle by Randy Komisar• Technological Revolution and Financial Capital by Carlota

Perez• The Four Steps to the Epiphany by Steve Blank• The Lean Startup by Eric Ries• The Innovator's Dilemma by Clayton Christensen• The Checklist Manifesto by Atul Gawande• Creative Capital (George Doriot) by Spencer E. Ante

Thank you!

@alexonano

[email protected]

“Without actions, the world would still be an idea.” G. Doriot

“The way to get started is to quit talking and begin doing”W. Disney

Contacts

Business

MoneyFarm: corporate prez