Broker service with no risk of loss of invested money

With each year the broker services become more popular among wide layers of the population. The number of organizations ready to meet the demand grows. Intesco Research Group was addressed by an independent broker company that had developed a project on rendering broker services to natural persons and legal entities on all financial markets with no risk of loss of invested money. The company’s specialists, using modern financial and IT technologies, had developed a unique system of rendering broker services to customers on the no-loss basis and created the required infrastructure for its implementation. The company needed a business plan to start implementing the project. 

Structure of the market of broker services

First of all, specialists of Intesco Research Group thoroughly studied the company’s structure and the market it operated on. The customers are legal entities and natural persons. The key advantage of the company at the moment of business plan development was the possibility of providing access to financial markets to wide layers of the population on the no-loss basis via the Internet. Also, their customers, apart from complete return of the customer’s funds upon the end of investment term in case of a negative change of the asset price, are given the right of their own selection of investing parameters (term, risk, prospective returns), premature closure of transactions with positive and negative results.

Project peculiarities

These possibilities were based on the following project peculiarities:

• Low initial investment volumes (from 1000 rubles);
• Wide range of financial tools (Russian and foreign stocks, Forex, commodity market tools);
• Attracting and registering of Customers, transactions of input/output of funds on Customer’s accounts and conducting trade investment no-risk transactions on-line via the WEB-interface of the Company;
• Automated system of accounting, control and reporting for Customers’ transactions and, as a consequence, reduction of costs for additional personnel;
• No counterparts. The world’s first internet-trading with financial tools with no risk of loss of invested funds via the WEB-platform.

Project items of returns

Having studied these data, specialists of Intesco Research Group have distinguished three main items of returns in the project:

• returns from rendering a service of no-loss trade amount to 2-5% annually from the sum of each transaction;
• the company’s returns from transactions with customers’ assets, sale and repurchase agreements with customers’ securities amount to 2-3.5% annually;
• the company’s returns from broker services amount to 0.05-0.1% from the sum of each transaction.

Investment structure

In the business plan the planning horizon of the project was 4 years, with the planning step of one quarter. The annual discount rate was 16%.

The remainder will be spent on working capital financing for future expenses.
Project payback rates

The appraised value of the company, according to our experts, varies depending on the project implementation variant. Its maximum value amounts to 1 165 302 thousand rubles, the minimum one – 187 thousand rubles.

The net cash flow, according to the project, amounts to 293 569 thousand rubles (difference between returns and expenses (including taxes) of the enterprise for the planning horizon).
The net present value, according to the project, amounts to 191 805 thousand rubles (the net returns from the project corrected with account for money value changes in time (16% a year) for the planning horizon).

The discounted payback period, which is the period required so that returns generated by investments cover investment spending, of the project equals 0.65 years.
At the given moment the project is successfully implemented in the internet bringing returns. Their sums are close to the ones stated in the business plan developed by Intesco Research Group.

You can order development of a business plan for your project by calling at +7 (495) 212-91-91 or filling in a request at the website, after which our manager will call you.

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