The founders of Cavanagh Group have teamed up to launch a new service offering online financial advice. The robo-advice service aims to bring online savings and investment tools to users at a fraction of the cost of most financial advisers.
The Munnypot platform launched yesterday with a minimum investment of £25 per month and/or a £250 single investment amount.
The service is available to all and works the same for a £25 investment as it does for a £1m investment. All users have access to the same advice and dedicated customer service, initially offered via Munnypot.com.
The platform provides an intuitive WhatsApp style ‘chat-based’ user-interface that advises people on their savings and investment decisions. Conversational and jargon-free questions, coupled with state of the art technology and algorithms, learn about a user’s financial situation and risk profile.
Munnypot charges a platform fee of 0.11 per cent and an investment fund fee ranging from 0.15 per cent and 0.24 per cent plus a tiered monitoring fee and a one-off fee for advice to set up the pot.
Munnypot’s website includes a calculator showing how much an investor would pay in fees, in pounds and pence, based on their initial investment and monthly contribution.For example, those looking to invest a total contribution of between £250 and £2,500 would pay a £5 one-off fee for initial advice and a £0.42p monthly monitoring fee.
Simon Redgrove, co-founder of Munnypot, said, “Wealthy investors have been using first generation robo-advice services for years, but until now they’ve not been accessible to the majority of people, particularly those who have little or no savings.”
“We’re aiming to change that with a more intuitive and more cost-effective service that anyone with £25 a month to invest can use. We are determined to help Britain fall in love with saving again.”