After from the Financial Sector Supervisory Commission (CSSF) in August 2023, Luxembourg-based fintech firm Moniflo on Monday launched a new app, targeting “a do-it-yourself clientele interested in what their money does.”

“As we launch in Luxembourg, we are not just introducing an app; we are unveiling a platform that empowers individuals to be catalysts for positive change for themselves financially and their environment,” said Moniflo’s founder and CEO in a press release from the company. “Our goal is to set a new standard for consumer-driven finance, where every investment decision contributes to a more sustainable and equitable future.”

Moniflo’s digital investing platform allows users to filter funds by financial criteria, sustainability, social impact and personal values, said the communiqué. It provides access to 200 sustainable Ucits funds (undertakings for collective investments in transferable securities), all categorised as article 8 or 9 under the EU’s Sustainable Finance Disclosure Regulation. Article 8 funds promote environmental and/or social characteristics, while article 9 funds have a sustainable investment objective.

The platform uses a ranking system based on the United Nations’ sustainable development goals, thus increasing transparency and allowing investors to make informed decisions about the social, environmental and ethical impact of their investments. Exposure to certain activities can be tailored according to a user’s personal convictions. Users, for example, can choose to exclude investments in coal.

“Investing in companies that align with sustainable and ethical practices is not just about returns; it’s about leveraging one of the most powerful commodities on the planet--cash--to drive positive change,” said Moniflo’s co-founder, head of finance and ESG lead Ala Presenti in the press release. “By investing in entities committed to social and environmental responsibility, we aim to set a precedent in how consumers invest and companies make choices.”

Use of new technologies

Luxembourg’s blockchain law came into force in March 2023, which means that Moniflo can use distributed ledger technology (DLT) for the custody of Ucits on the blockchain in Europe.

“While we want to continue partnering with the traditional asset management industry to levy further efficiencies and cost reductions related to a more intensive use of DLT technologies, we also have the ambition to enhance the Moniflo user experience by using AI-driven app functionalities,” said Bock. “Combining two of the most advanced and promising technologies into the investment process will end in a game-changing new customer experience.”

In addition to its launch in Luxembourg, Moniflo added in its press release that it is planning “targeted initiatives” into the German market that will set the “first milestone in the internationalisation of its business.”