The traditional way of investing is outdated. It’s complex. Time-consuming. Risky. Fraught with fees. Trading is often opaque and lock-ups can keep your money tied up — for years. Lumenai was founded to modernize investing by making it simpler and more you-the-investor friendly. Here’s how it works.
01
Customize your portfolio.
It starts with you, and Lumenai, clearly articulating your investing goals and personal values. Lumenai creates a 'custom' approach using one-size-fits-all strategies like traditional firms. Every portfolio we create is unique to that investor. Sustainable investing? Social impact? Whatever matters most to you, we can build a portfolio around it.
02
Train the model.
With the help of our global partner — a quantitative investing leader — our advanced AI takes over. Using pattern recognition, it analyzes the relationship between market conditions and the most stable and highest risk-adjusted returns. Creating a one-of-a-kind, self-adapting portfolio.
03
Analyze and adapt.
Lumenai's best-in-class technology can make daily investing decisions to optimize your unique objectives. When it recognizes adjustments are necessary (detecting securities with anomalous behavior, unexplainable returns, volatility or excessive debt levels) it efficiently adapts your portfolio. Making disciplined investment decisions — without emotion or bias.
04
Activate hedging.
When the option of hedging is selected by the investor, full-time or part-time hedges are guided by negative changes to market volatility (VIX), a portfolio’s price behavior and actual portfolio drawdown levels. The hedge ratio typically varies from 20% to 60% with an average of 40%.
05
Approve and execute.
Final security rankings are translated into a trade file which is reviewed and routed to brokers for execution. Orders are executed and confirmed by Lumenai. Portfolios are traded weekly and evaluated daily. Calendars are monitored for corporate events and balance sheet submissions. Dividends are collected and extraordinary events (splits, M&A and de-listings) are incorporated.
06
Monitor your investments.
At a time when transparency is more valuable or desirable than ever, you’ll have a daily on-the-go financial picture of your entire portfolio when you want it. We even adapt to your liquidity needs. You can withdraw or add to your investments at any time. There are no capital lock-ups.