When Esra Ulasan (CEO, Magnus) was pursuing her doctoral degree at North Carolina State University in the field of Econometrics, she developed the portfolio recommender algorithm together with Prof. Dr. Mehmet Caner. When they met Ercan Gumus, a serial entrepreneur who was working both in Turkey and the United States, he came up with the idea that this system can be a good business. Ulaşan’s mentor Prof. Dr. Özlem Önder from Ege University also joined them and they started Magnus, named Akillifon back then. Despite many investors warning them about stepping into a very harsh market, they ensured to grow Magnus stronger amidst the winds of challenges with 2 active funds in the Turkish Capital Market. Moreover, their strongest motivation was the power of AI technologies and the growing tendency towards the use of AI in everyday technologies!
Magnus is an R&D innovation firm in the field of Big Data wherein the team of experts develop an algorithm every day to provide the best performing portfolios to their investors. One of Magnus’ most important value propositions is the statistically proven algorithm developed by its team. Esra adds, “What we do, in general, is to derive new algorithms that we have statistically proven to be suitable for portfolio theory under the assumptions of real market conditions, and to empirically prove the performance of our proposed algorithms and present comparative analysis with existing methods”. While the company holds 3 different, validated business models provided for financial institutions, it also aims to become the new Medallion fund of the world.
Services Par Excellence
Unlike its counterparts in the industry, Magnus provides Machine Learning & Artificial Intelligence-supported Mutual Funds and Fund Baskets creation and recommendation services, considering the prevailing principles. The company monitors the funds instantly and provides fund advice through algorithms according to market movements. It offers portfolio optimization modules to new-gen banking applications and trading platforms, where they can create their investment strategies based on algorithms. The company also specializes in providing a robo-advisory technology that enables banks to create and manage optimal asset allocations based on algorithms in line with the risk profile and expectations of their investors.
Esra articulates, “We take pride in successfully completing the Robo-Advisory project in cooperation with Kuveyttürk and KT Portfolio as well as GLC (Global MD Portfolio Second Basket of Funds Fund) and GLG (Global MD Portfolio Capital Equity Hedge Fund) traded on TEFAS in cooperation with Global MD Portfolio Management Company”.
The Road Ahead!
In the upcoming period, the main agenda of Magnus is to strengthen its team and improve its overseas operations while expanding its customer base in Turkey and MENA region every day. Esra concludes, “We are preparing to form new funds with our partners, and grow our investor network and volume of asset under management through financial institutions in 2023. We are also getting prepared for a new round of funding”.
"Unlike its counterparts in the industry, Magnus provides Machine Learning & Artificial Intelligence-supported Mutual Funds and Fund Baskets creation and recommendation services, considering the prevailing principles