Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

>The absence of these regulations will create room for businesses who would vet investments for you at different risk levels.

Those already exist and are called managed funds. The problem is, there is often a conflict of interest and the fund managers profit off the ignorance of their own costumers.

This is actually a very big problem in the financial space: the incentives of the B2C entity and the costumer are almost never aligned. The costumer lacks information and the B2C is supposed to help them attain that information, but the B2C entity can also profit off the ignorance of their customer and this is often more profitable than getting paid a fixed fee for honest advice.



> Those already exist and are called managed funds. The problem is, there is often a conflict of interest

Which means managed funds are not what the GP is talking about. The GP is talking about a third party that does not have any conflict of interest.




Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: