Quantbase has introduced an investment platform with Alpaca Broker API.
Som Mohapatra, CIO and Co-founder at Quantbase, explains that the business is a YC-backed investment company that “helps makes it simple for financial companies and individuals with an audience to turn their investment research/data into an investable strategy.”
As an SEC-registered investment advisor, they “build, run, and manage every strategy on their platform from end to end.”
As noted in the update, Quantbase was “founded in 2021 by Thomas Stewart, Som Mohapatra, and Allen Calderwood.”
The company is “backed by some prominent investors, including Y Combinator. In their first year of operation, the founders had been managing their own class of investment funds for thousands of clients.”
They reportedly “had dozens of emerging managers, investment authors, and content creators reach out for help doing the same, so they decided to make this the central focus.”
The company aims “to decrease the barrier to entry for financial firms and creators who don’t want to deal with fund operations.” It helps them “become investment managers by co-creating strategies from their investment research.”
As mentioned in the announcement, Quantbase has partnered with Alpaca Broker API “to make the experience seamless for both partners and clients.”
The integration with Alpaca “allows Quantbase partners to easily offer their investment strategies for their clients, offering a full brokerage experience.” It also “allows Quantbase to offer a user-friendly investing experience.”
Quantbase works with managers “to generate a quantitative portfolio from the data they already have or creates a factor-based long-term portfolio from their investment research and data.”
The company “builds a custom-branded landing page for the manager’s audience to invest in their strategy.” The manager “has access to a dashboard where they can set a subscription fee or integrate with their existing premium product.”
The manager “launches their strategy to their audience with full control over subscriptions, client communication, and design.” If the manager wants to update their strategy, Quantbase works with them “to seamlessly change the strategy execution.”
If the investor lives in the US and has a US bank account, “they can sign up and go through Quantbase’s onboarding process.” The company will “ask for their bank account information and personal information to verify their identity.”
The investor “chooses which funds they would like to invest in.” They can “choose Quantbase funds or funds that the company has co-created with its partners.”
The investor “chooses their desired percentage allocation between the funds and deposits the funds.” In two to three days, Quantbase receives the deposit and “takes care of the rest.” All investment “rebalances within the chosen funds are done automatically.”
There are “no lockups, so investors can withdraw or transfer out of Quantbase whenever they want.”
As explained in a blog post, Alpaca is “a developer-first embedded financial technologies platform that’s raised over $100m in funding.”
Alpaca reportedly “offers crypto and stock trading, real-time market data, and end-to-end brokerage infrastructure through modern APIs.”
Alpaca is “backed by top investors in the industry globally, including Portage Ventures, Spark Capital, Social Leverage, Tribe Capital, Horizons Ventures, Unbound, Eldridge, Positive Sum, Elefund, and Y Combinator.”