I have built an automated system that seems to be able to correctly predict upward stock movement with about 65% precision (i.e., whenever it makes a prediction, it is correct 65% of the time). The problem is that the prediction horizon is on the scale of minutes, so we're often pursuing price differentials on the scale of cents. Hence, fast and cost-efficient trading execution is just as important, and this is where I (as a retail trader) keep failing to make money due to price slippage, trades not getting executed, etc.
Instead of trying to solve the execution problems on my own, I'm considering providing a streaming service that a professional hedge fund with the right execution infrastructure and expertise would subscribe to, and pay me either a subscription fee or a percentage of profits resulting from use of my predictions.
Of course, there is no reason for a hedge fund to trust me, so I could provide a web API for accessing my service for free for one month. The web service would provide any predictions in real-time (i.e. "the symbol xx will go up over the next yy minutes"), and the hedge fund can easily use it to evaluate how accurate & useful my predictions are. After the free month, the hedge fund can decide whether to pay to keep using it or not.
I'm wondering what people's thoughts are on this?