Does this business exist?

[skinny]

Imagine you go to a website. You see a list of funds. Each fund has a description of the algo strat they are using. The assets under management, historical returns, and how long the fund has been trading is shown as well. You decide to contribute money to this fund, in the hopes of getting great returns.

On this site you also see a "start a new fund" button. You've been working on an algo trading bot, but you lack enough capital for it to be profitable. You connect your bot to the site's servers, name the fund, then publish it to the site. Now anyone can contribute to your fund to get a piece of the action. And you get your cut, of course.

Does this business model exist? What sites use it?

 

[Arnie]

https://www.interactivebrokers.com/en/whyib/overview.php

click on Investors Marketplace

 

[rb7]

Collective2 is doing that.
I don't know them, so I don't have any opinion about them.

 

[murray t turtle]

Imagine you go to a website. You see a list of funds. Each fund has a description of the algo strat they are using. The assets under management, historical returns, and how long the fund has been trading is shown as well. You decide to contribute money to this fund, in the hopes of getting great returns.

On this site you also see a "start a new fund" button. You've been working on an algo trading bot, but you lack enough capital for it to be profitable. You connect your bot to the site's servers, name the fund, then publish it to the site. Now anyone can contribute to your fund to get a piece of the action. And you get your cut, of course.

Does this business model exist? What sites use it?

%%
Actually if not exactly exists, could worth exploring as a business idea;
trading + investing can be like medical science. So i would want an attorneys opinion also. You are responsible for you+ good question. I trust IBKR.

 

[David's faith]

Darwinex.com

 

[2rosy]

quantopian tried. It failed because no one was profitable

 

[El OchoCinco]

you want a website that bypasses SEC regulations haha

 

[DaveV]

quantopian tried. It failed because no one was profitable

Do you have any stats that?

 

[skinny]

Also quantconnect has this feature, but says in their TOS what type of data they collect:

https://www.quantconnect.com/privacy
"use the Service to upload, share, or communicate any content or information; "

Which means they can collect my trading strat. And according to the sharing section they can probably sell the strat to anyone.

 

[zdreg]

Also quantconnect has this feature, but says in their TOS what type of data they collect:

https://www.quantconnect.com/privacy
"use the Service to upload, share, or communicate any content or information; "

Which means they can collect my trading strat. And according to the sharing section they can probably sell the strat to anyone.

Many beginners assume/believe their strategy have value. The reality it has no value.