stairpath

Call Levels: a thin niche but not on thin-ice

call levels logo
Company profile: Call Levels

First there was newspaper, then telephone, then computer watching, then emails and then – apps for stock price alerts. Stock price alert is an important function for any investor. iOS, Apple Watch and Android – Call Levels has an app for all mobile platforms that monitors Stocks, Commodity Futures, Forex and Indices for price alerts.

Founded in September 2014 by Daniel Chia and Cynthia Siantar, Call Levels is a Singapore-based Fintech startup and can be found at www.call-levels.com. Their client profile is the app user who typically has a requirement for price alerts.

The Business

Call Levels is focused on monitoring the financial markets for users. Optimised for the mobile cloud, they provide the one primary service that every financial market participant in the market needs: alerting users when their specific assets reach pre-selected price levels.

The Engine

Call Levels is providing access to data real-time which was once exclusively designed and delivered for enterprise clients. As part of democratising of the finance world, Call Levels is aiming to equalise the playing field for everyone in the financial markets whether they are professional trader or a first time investor. The app alerts the user when stocks, commodities or any other asset class hits a specified price set in advance. The app is built on and optimised for the cloud platform. Call Levels app was nominated the top 3 Fintech App by Appsters awards in 2015.

They have two types of clients. First type are the users who would download and use the app for  price alerts on which they base their investment decisions. Second set of clients are Financial Institutions who would use their existing infrastructure to push data and alerts their users at the price levels that they have already set. They currently have coverage for Forex, US Equities, Commodity Futures, Major Indicies and Bitcoin. The app also enables social sharing of the price alerts.

Their revenue model is fairly straightforward. The app users who want to use the app do not have to pay anything. The Financial Institutions are typically the paid clients where they would provide such a service to their end customers and pay an annual fee.

The Intrinsic Value

Call Levels has a very precise concept, something that has been done before in different shapes. An app for the user being the most common version. The other end of the spectrum is where they provide a link (API) to the app to a Financial Institution is interesting. The Cloud fintech engine – an Open API Solution and Service that offers reliable monitoring with data analytics service for enterprise clients could be a solution that will use their expertise and bring their idea into mainstream.

They currently have sixty thousand users and one of Asia’s largest institution is working with them to launch SGX-listed equities for their clients. This is a likely segment where they can find value as these are legacy systems and the segment is innovating at different sub-segment levels. The clunkiness of the current infrastructure enables them to integrate real-time price alert data to the investment community who are clients of these financial institutions. Call Levels may have found a thin, yet exclusive niche.

The Profitability Conundrum

It is still early days for Call Levels. Eighteen months into existence and they are already revenue generating which is a sign that they have potential to develop the concept further. If institutions are finding value in their data and the alerts, then they should have a typical cycle of a startup before they generate profitability.

The Verdict

For Financial Institutions they are displacing a process that has been managed by the third parties and facilitating a transition from a manual and internalised approach to real-time cloud-based push functionality. Dispersion of data was a thing of past, Call Levels brings in a view with Open API solution whereby data management becomes easier for these institutions especially if this is an add-on and can still work with legacy systems. With strong and influential investors behind them, the pertinent question is whether the institutional inefficiency and desire to automate will aide Call Levels or out-place them (if the institutions decide to do it themselves). Call Levels may have a solid (albeit thin) niche but they are definitely not on thin-ice.

Founder comments

One thing to note is that Call Levels is often considered by our users as a “virtual assistant” – working in the background to monitor price alerts for our users. We are actively watching the markets for our users even if they don’t launch the app frequently (since it all depends on their own investment strategy and horizon).

Disclaimer: This material is for informational purposes only and should not be construed as research or as investment advice, nor should it be considered information sufficient upon which to base an investment decision.  Further, this communication should not be deemed as a recommendation to invest or not to invest.

The information contained herein has been obtained from sources believed to be reliable, but is not necessarily complete in its accuracy and cannot be guaranteed.