Financial Advisory Bots w/ Crowd sourcing for Millennials

The wealth management industry is in a dilemma now !

Increasingly high costs of servicing the clients, a lack of successful investment in technology and changing demands from clients are all combining to rain havoc on the industry. In the market, the playing field is getting much more complicated by the inherent regulatory risks in providing investment “advice”.

In our opinion this is an opportunity and not a threat. The so called robo-advisory systems will undoubtedly grab a share of the market and be impactful in necessary asset gathering.

New robotic technology (Bots) has always made older generations understandably uncomfortable especially since movies tend not to portray robots in the best vein (remember I, Robot!)

Financial Advisory Bots with Crowd-sourcing engine (FABw/C) is the one among its kind, self-governed financial ecosystem product for the Millennials, aimed at reshaping today’s financial industry by combining the latest chat-bot, blockchain technologies with the wisdom from crowd sourcing.

Robo-advisors have become prevalent in the last few years as robo-advisor programmes “allow consumers to go online, answer some questions, and receive financial help without having to pay for individually-tailored suggestions.”

In the modern-day world of Amazon Prime, it is no surprise that individuals would want to receive personalized assistance, free from paperwork or even basic human interaction.

As the millennial generation gradually enters the workforce and accrues wealth, “Asset managers & banks are looking for ways to deliver low cost, automated investment strategies in a way that it fits with customers ever increasing digital mindset.”


The registration is done with email id and on the Bot’s homepage, users are asked to “start the investment plan” by entering their details like age, status like retired or working and also annual income. After entering these preliminary info, the user has to set goals with small visualizations to easily display the plan .

The system breaks down the investment into 3 “priorities” based on the user’s age and income. For eg:- for a person whose profile is 22 years old, making around 5 lakhs a year, this robo-advisor would deem number one priority to be in having a financial security level, followed by planning for retirement, and in the end, general investment.

Also the users can begin their investment process by taking a short diagnostic quiz. The portfolio prompts the user to answer “7 simple questions” and takes no more than 5 minutes to complete. The questions are specific about the user like his financial history and the goals for offering the best plan possible. Another feature is the auto recommendations the questionnaire provides. For example, after asking the age, the program automatically recommends a plan on saving for retirement for a longer time period and suggests to change the settings.

The system offers an explanation as to why it is important to ask these diagnostic questions. These short explanations are helpful for millennials, who may not be familiar with wealth management or financial terminology and to understand why the system would need to know their financial history and goals.

Once the user completes the short questionnaire, they are given the output in the form of nicely designed visualizations. The user is assigned a “risk score” and a visual displaying recommended percentages of investments like stocks and bonds. The system offers solid information which has been organized and is easy to understand through data graphics. It will show financial information quantified in a “risk score.”

Another feature is that, after choosing a response from the multiple choice questionnaire, a short response shows up to provide the user with more information on the answer they have given. The system’s defining feature is that the results page offers a colorful, eye-catching visual display of the risk score and also the investment recommendations. This visual is easily digestible and offers a color splash to the monochromatic design standard financial websites has. The system also offers detailed descriptions of the investment projection, portfolio and investments.

Concept and Architecture

Built on the Ethereum blockchain, our technology will make financial services safer, much more smarter and accessible. Millennial Investors will benefit from them in a new transparent way and will be in full control of their investments. All of this will happen with no advisors in the middle and naturally with zero fees.

The concept of wisdom from crowd sourcing can be dated back to 1907 but it is James Surowiecki who has recently explored the concept ’The Wisdom of Crowds’ in depth. According to the theory crowds often reach conclusions that are much more accurate than those taken by an individual even if that individual is an expert in his field. The reason why crowds are smarter is because of their diversity of views, openness and sharing attitude.

The crypto engine will have a fund which enables its members to decide independently how , when and where the fund should invest. All of this is done through a fully transparent voting process on the blockchain. Through the chat-bot platform, investors are granted the necessary tools to create a crowd wisdom fund of their own or join to invest in newly created ones.

A crypto fund which uses crowd wisdom does not have a centralised power of authority. There is no dedicated financial advisory / manager to make decisions on behalf of investors. All the participants are supposed to vote and the wisdom of the group determines what the fund’s next target investment would be.

The system has an exchange platform which is managed by the crowd where Token owners have enough power to decide through a voting process like which tokens are going to be listed and which are going to be removed from the exchange. The platform also allows them to delete the assets if they suspect of any fraudulent activity. Token holders share the income from the exchange fees like the listing, yearly and spread fees.

The crypto token is the heart of the FABw/C ecosystem. FABw/C token owners have access and voting rights in all the investment products and are also granted a share of the profit the fund made, the exchange or any other financial services provided by the group. There is also a concept in place to give incentives to the most active in the FABw/C group by rewarding those who participate in the voting and also those who suggest new investing opportunities. Every newly created FABw/C fund and investment product will increase the token’s value for the groups benefit.

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