By Harshal Deo, Chief Technology Officer, DriveWealth
Known as the Fracker, our proprietary order management system (OMS) has officially been granted a patent by the U.S. Patent and Trademark Office. It’s a big milestone for technology that has reinvented the retail investing experience for millions of people around the world.
Prior to our Fracker technology, investors had to trade during trade windows. To complicate matters, trading activity during these windows was often largely driven by historical data sets and predictive analytics. While this perhaps worked for investors of yesteryear, much of today’s global, 24/7 business landscape happens outside the confines of U.S. market trading hours – and it requires a new level of certainty and an almost instantaneous transaction speed.
We knew there had to be a better way for investors to trade – so we built one.
The Fracker was designed and built to execute trades and facilitate orders as they come in. Through the power of our patented OMS, DriveWealth became one of the first companies in the world to launch real-time fractional trading in U.S. equities.
Through this innovation, DriveWealth was able to reduce our inventory management exposure, since the system executes trades as they arrive in the queue. What’s the impact? Reduced risk. Increased trading speed. Greater value for our partners and their 12 million+ customers who trade through our platform.
For our partners, this means they’re able to give their end customers a better investing experience by allowing them to invest outside of trading windows, at the speed they expect, and in the fractional amounts they want.
This is quite a change from the previous landscape, when purchasing whole shares of stocks was the norm – meaning if your end customer wanted to start their investing journey with that hot $150 stock that everyone’s raving about, it would require $150 (or $300 or $450 including commission fees) to even get started.
Through the power of the Fracker, our partners’ customers are able to invest in fractional shares without the burden of high minimums and whole shares. This means investors from all over the world have the power to place orders of any size. For any asset. In any currency. Want to start investing in that $150 stock? Now you can – through trades less than one whole share, in an amount of as little as $1 – all powered directly through our patented technology.
But the buck doesn’t stop there. We’re not only breaking down the traditional barriers to investing through our patented Fracker technology, we’re also redefining the investing experience for millions worldwide. Through DriveWealth’s APIs, our partners can offer innovative products like stock rewards and round-ups to help customers invest as they spend – an investing experience that’s driving next-gen (and first time!) investors to the markets. What’s more, we even offer extended hours trading so investors around the world can access the markets, regardless of their time zone.
If you’re interested in leveraging the power of our patented Fracker technology to power the digital investing experience that your customers need, contact us here.