Our client is a US-based startup and its main product is a wealth management robo-advisor platform. This platform helps financial advisors to create the best matching portfolio for their clients by providing a risk tolerance questionnaire and calculating individual Risk Score based on user data.
The goal was to create a scalable SaaS platform which processes user information and big volumes of historical stock market data. After collecting data from the user and from the stock markets, the system should calculate the risk score, as well as to provide the ability to manually create a portfolio.
The service works with two data sources that collect different types of data. The first one includes all the information directly about the user: one’s age, experience, and availability of work, monthly income, property and other. This data needs to be collected in order to calculate how much risk a person can take based on the current life situation. On the client side, we implemented the opportunity to manually expose the profit/risk ratio in user investment strategy.
The second data source contains information on stocks, the bonds market, and its history for more than twenty years. This allows us to analyze the prospects of stocks and funds based on their trends over a long period and calculate the current portfolio risk score. This score is compared to the risk score based on the questionnaire and helps the financial advisor to build a better investment strategy for the client. For users’ convenience, all data is visualized using interactive charts and diagrams.
We built this wealth management platform as a cloud-based SaaS product with modular service-oriented architecture. Database stores around 200 000 000 records with stock market historical data since 1994 which is used for Portfolio Risk Score calculation. We implemented an advanced caching system to support high performance and quick response time.
Product has integration with multiple 3rd party services, including the following:
syncing user portfolio with various financials tools We also developed a public API allowing developers to integrate risk score calculation to their financial products.
market data API
payment processing/billing API
Since February 2016, the project has been available to users. We are working on improvements and support. In particular, we’re developing the automation of adding new funds market information to the database, which is issued globally every day.