@GeeknRolla: Cutefund points the way to crowdsourced mutual fund invesments

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CuteFund is a “crowdscourced mutual fund”. And the big difference between this and other mutual funds is it has no fund manager – each user can vote for stocks and controls investments. Investors can start with as little as £100 and pay in two percent a year, with one percent distributed back to the top performers. $60 trillion is today managed by equity and mutual fund managers, but 80 percent fail to beat the market. CuteFund.com says it is here to make the mutual fund industry more “transparent and efficient”.

CEO Andrei Korobeinik told the first GeeknRolla start-up panel that Cutefund is “two times cheaper” than regular mutual funds for investors and “more efficient, thanks to the wisdom of crowds”. The in-beta start-up still has some way to go before it starts taking people’s money but the service is there for people to “play with”.

And the business model? Korobeinik: “The level of entry is low. It’s much cheaper.” Plus, Korobeinik is looking for business partners to take the Cutefund model to market through white label deals.

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