The fund trades stock equities on public exchanges, but is unique in that the fund’s trading strategy and positions are determined exclusively by software.
The investment software that forms the basis of the fund has been in development and testing for three years inside Livefront. The software works by gathering investment and sentiment data across the web and then uses various models and pattern analysis to reveal trading opportunities.
“We’re excited to spin-off a company from something that for so long was just an idea,” said Mike Bollinger, owner of Livefront. “We have been working on this investment strategy for a long time as an internal side project, and we’re excited to see where it goes outside of Livefront.”
The software was written by Sean Weiser, Sam Kirchmeier, and TECHdotMN co-founder Mike Bollinger—all members of Livefront and now partners in the new fund. In addition to the founders, the fund currently has one outside investor. “We’ve seen a strong interest in this venture, and we’ll be talking to people interested in investing in the fund late spring 2011,” said Mike. Investors must be accredited and will be accepted by invitation only.