It’s been an incredibly exciting month at AlphaFlow, as many of our investors hit optimization on their portfolios and we brought on some huge additions to the team to help us better serve you: our clients. On May 15th, we announced that AdaPia d’Errico joined AlphaFlow as COO and I could not be more excited to have her as a partner in setting the strategic vision and growing the company.
The Company’s Evolution
None of the progress at AlphaFlow would have been possible without our close relationships with our clients, who shared both their desires and their fears about investing across the real estate crowdfunding space. As Steve Jobs said, “Get closer than ever to your customers. So close that you tell them what they need well before they realize it themselves.” We built an unparalleled experience. It just got better.
Two years ago, we launched AlphaFlow with the mission of giving our clients the best possible investment experience. We introduced the industry’s first multi-platform funds last year, giving investors the ability to participate in 75+ of the industry’s best deals with one investment. Though the investment minimum was $10,000, our average investor trusted us with over $50,000. The funds worked well, but they had shortcomings. They were designed to address our clients’ challenges with the current investment model, instead of solving for what they actually needed.
In March, we launched AlphaFlow Optimized Portfolios, completely redefining – and improving – the investment experience. For the first time, investors could access a highly-diversified portfolio of real estate loans in a truly passive way. We do all the work, backed by a sophisticated analytics platform we designed and built, and investors sit back and earn returns with only a low fee. Fintech has been tremendous for investors in creating access to new asset classes, and AlphaFlow has stepped in to simplify investing in real estate loans the same way ETFs streamlined investing in stocks.
To accomplish our goals of building you a complete investment platform, we needed another leader in the company who shared our relentless focus on customer relationships, experience, and service. A leader focused on doing what is best for the client over pursuing initiatives that simply create meaningless vanity metrics. A leader who had earned the trust of both investors and other platforms. Today, I feel lucky to call her my partner.
AdaPia and I met in the earliest days of the real estate crowdfunding industry when we were getting two of the first platforms (RealtyShares and Patch of Land) off the ground. It’s hard today to imagine how small the industry was then, as both platforms have taken off and the asset class has gained international recognition. AdaPia was one of the primary drivers in building that industry awareness with both retail and institutional investors, which starts with building strong relationships.
AlphaFlow’s Focus on the Client Experience
AdaPia and I share a philosophy of quality over quantity that now defines the culture at AlphaFlow. For you, this means with the leadership of our Director of Investments, Miles Deamer (another industry pioneer by way of LendingHome), we’ve taken on a culture of credit over volume. It means we’ve embraced spending on investment analytics over online advertising, and we have embraced the increased cost and time requirements of becoming a regulated company (we are a registered investment adviser) in order to best serve our clients.
To better protect your capital, we’ve bolstered our engineering team to turn our credit model into an analytics platform more robust than anything we’ve seen in the industry. To serve you and your needs better, next month we’ll be introducing a new client relations team to bring a level of attention and care previously reserved for ultra-high net worth individuals.
In focusing on relationships, we’ve found that expertise and returns are not enough. Clients today are seeking a level of personalization that reflects their unique goals, timetables, and risk tolerance. They are seeking someone who truly understands their wants and needs. We’ve started that process with AlphaFlow Optimized Portfolios, but we know we can do a lot more for our clients. Over the next 6-12 months, we’ll be giving you the power to customize your portfolios to match your unique needs. We’ve come a long way since the early days of real estate crowdfunding, but we’re just getting started. The future is bright, and we’re excited to partner with you all in building it!
About the author:
Ray Sturm is a leading entrepreneur in financial technology, and is currently the CEO of AlphaFlow. Prior to launching AlphaFlow, he founded RealtyShares, one of the P2P industry’s top platforms for real estate investing. His early career in finance included investment banking at Bear Stearns, restructuring at Lazard Frères and private equity at CCMP Capital.
Ray has a BBA-Finance from the University of Notre Dame and a JD/MBA from the University of Chicago.
AlphaFlow Adds Veteran Fintech Executive AdaPia d’Errico To Management Team
Investment Management Firm Expands Team of Real Estate, Tech and Lending Leaders to Offer AlphaFlow Optimized Portfolios to More Investors and Institutions
SAN FRANCISCO, May 15, 2017/Businesswire — AlphaFlow, the first automated portfolio service for real estate investments, announced today that veteran fintech executive AdaPia d’Errico has joined the company as Chief Operating Officer to scale the investor platform and expand AlphaFlow’s customer channels. Ms. d’Errico is nationally recognized for growing businesses through brand advocacy and designing innovative platforms that build engaged communities. She has been at the forefront of real estate crowdfunding since 2014, advocating the power of increased transparency, education and technology to provide opportunities in real estate investments.
“AdaPia’s passion, vision and execution are renowned in the fintech industry, as she was a key player in giving real estate crowdfunding national awareness, especially amongst investors,” AlphaFlow co-founder and CEO, Ray Sturm, said. “I’m thrilled to have AdaPia here as a partner and leader of the firm. Her track record, experience, and ability to apply innovative methods to reaching audiences will be fundamental to building AlphaFlow into the premier real estate investment service for high net worth individuals, wealth managers and registered investment advisers,” he added.
Ms. d’Errico’s career spans retail banking, investment management, intellectual property and brand development, and financial technology. Most recently she was Chief Marketing Officer at Patch of Land where she led brand, marketing strategy and operations, and built the investor platform. Prior to Patch of Land, she provided brand and online growth strategy services to consumer and media companies in the US and the UK, and co-founded two businesses. Ms. d’Errico has over 10 years of experience in banking and investment management with a focus on customer management, client communications and investor relations.
Ms. d’Errico stated, “I am beyond excited and honored to join AlphaFlow and the incredibly talented team that Ray has already assembled.” She added, “AlphaFlow Optimized Portfolios are the evolution of online real estate investing. We are at the intersection of robo-advising and real estate; technology and analytics combined with human-powered real estate expertise and experience. I share the company’s passion for providing a seamless investor experience built around passive investing, diversification, trust, transparency, and the utmost in customer service and care.”
AlphaFlow continues to grow its team with key people from the marketplace lending industry; earlier this year the company hired Miles Deamer, an early LendingHome employee who scaled lending operations there. Mr. Deamer is responsible for portfolio management along with Mr. Sturm.
AlphaFlow Optimized Portfolios are a truly passive, highly diversified and fully transparent managed portfolio service, bringing to real estate what ETFs brought to stocks. For a low minimum investment, each client’s capital is invested in 1st lien real estate loans to produce a personal portfolio of 75-100 notes spread across 15+ states, selected, rebalanced and managed by portfolio managers with the help of smart automation, algorithms and analytics.
AlphaFlow is an investment management company that applies best practices of professional investment management like diversification, rebalancing, and institutional-quality data analytics, automates them so that investors can receive these benefits without the high fees and high minimums of traditional real estate investing. AlphaFlow Advisor, LLC is a registered investment advisor based in San Francisco, CA. For more, visit alphaflow.com.