Clustered Capital is on a mission to make retail investing safer and more accessible through its proprietary Automated Investment Protection (AIP) algorithm. Developed in response to widespread investor fear and market volatility, the company partners with banks to integrate its AI-powered risk management technology directly into existing investment platforms — delivering institutional-grade crash protection with a single user toggle.
Solving Retail Investor Insecurity
Only 17% of Germans invest in the stock market, and the leading deterrent is fear of financial loss. Events like the COVID-19 market crash eroded trust among retail investors, who often lack the tools to mitigate risk. Clustered Capital’s solution provides peace of mind through automated exits in turbulent markets and timely re-entry when conditions stabilize.
This hands-off approach is designed for users like “Emma,” a persona representing cautious investors who want control and safety without complexity. It combines real-time market responsiveness with ease of use.
The AIP Algorithm: Tested, Robust, and Embedded
The AIP system uses machine learning trained on millions of historical data points. It performs real-time analysis of financial instruments and adjusts user positions automatically:
- Exits markets at early signs of a crash
- Reduces portfolio volatility
- Re-enters markets once stability is confirmed
Backtesting Results:
- S&P 500 (COVID crash): Reduced max drawdown
- Ukraine crisis: Sharply reduced volatility while preserving returns
- DAX tests confirm robustness across markets
Unlike robo-advisors that only optimize portfolios at entry, Clustered Capital’s tech manages live market risk continuously — previously a capability reserved for hedge funds.
B2B Integration Model with Banks
Clustered Capital operates as a B2B technology provider:
- Banks embed the crash protection toggle into their existing frontends
- The algorithm operates in the background and delivers buy/sell signals
- Banks retain customer control and execute orders
This model enables:
- Monetization through licensing, commissions, or AUM-based fees
- Access to anonymized data for algorithm optimization
- Low friction for banks and end-users alike
Strategic Roadmap and Funding Needs
The company has built a working proof-of-concept and conducted successful live trading demonstrations. With promising backtest results and early institutional interest.
Funding priorities include:
- Hiring AI developers and key account managers
- Partnering with banks and fintechs
- Security audits, patent applications, and KYC compliance
- Launching marketing campaigns and embedded dashboards
Projected outcomes: four pilot bank clients, full system integration, and first revenue-generation by late 2026.
Team
Core Team:
- Toni Seyfert
- Jee-Yu Yang
The team blends experience in quantitative finance, fintech regulation, and enterprise software deployment.
Website: www.clustered-capital.com
