Nutmeg expects more clients to switch to online wealth advisers

London

THE flow of clients moving to online wealth management services from traditional banks could increase sharply as wealthy clients focus more on low fees and warm to online advice, the co-founder and CEO of British startup Nutmeg said. "We want you to feel like you're walking into Goldman Sachs with 10 million, even if you're logging on to Nutmeg with £1,000 (S$2,100) to invest," Nick Hungerford said at the Reuters Wealth Management Summit.

Nutmeg, founded in 2012, has 50,000 users and is one of a batch of firms sometimes dubbed "robo-advisers" threatening to shake up an industry long dominated by banks such as UBS , Credit Suisse and Bank of America. "I don't need to destroy one of them, I can just take 10 per cent business off all of them," Mr Hungerford said. "There are some fundamental differences between us and the old world and at the core of it is, whose money is it?"