Company Name: FeeX
Company Location: New York City, New York
Company Website: FeeX.com
Twitter Handle: @feex
FINtech sector(s): Banking/Retirement
Elevator pitch: The financial industry is built on asymmetry of information that causes us to pay high fees for average or even poor performance. These compounding fees add up and can erase one-third of your retirement savings. We at FeeX believe that everyone is entitled to free and transparent information about how much we're all paying for the privilege of investing.
Years formed: 2012
Number of employees: 20
Brief description of the company: FeeX is a free service that finds fees in your retirement accounts and helps you reduce them. FeeX’s mission is to make sure you keep as much of your own money as possible, instead of losing it to excessive fees. FeeX does not evaluate your investment choices or strategy. Instead, FeeX finds ways for you to invest according to your choices while paying the lowest fees available. In order to help you switch to similar low-fee alternatives, FeeX presents alternative investments with better past returns (when possible) than your original investments.
How is your company different than other companies in the same space?
- FeeX is simple. The alternative with highest future balance is chosen. FeeX is easy to understand, and we have FeeX concierge to explain and help you make a change if you need assistance. FeeX creates transparency. The user can see all the alternatives with their balances so they can choose differently. We have a similarity algorithm to find these alternatives.
What is your revenue model? How will the company make money?
- FeeX is free to our users. We do have referral arrangements with some of the financial services providers, so if you open an account with one of these providers, the provider will compensate FeeX for referring you.
Who is your target market? How big is the opportunity?
- Anyone who have a retirement account. Fee transparency is key, and you are entitled to know how much you are paying, and what that really means in the long run.
Why are you and your team capable of succeeding?
- The problem we are addressing is a huge one - financial fees in the United States alone are $600 billion a year, so even by starting to address it, it can be very substantial.
- We may have a small team, but we have some of the most brilliant minds. Each of our employees brings a special skill set to FeeX. The mission of helping people retire richer unites all of all employees.
What is your company’s next target/milestone?
- We have built a 401k rollover conversion machine, and are now looking to team up with some key partners that will bring their users to the platform to benefit from the advice.
Can you tell us one unusual fact about your company?
- The name says it all. We are trying to cancel out fees.
- Two of the founders are in their 30s and the other two are in their 50s, which creates a unique blend of cultures and experiences.