FREC

Robo-advisors allocate client capital into pre-built ETF portfolios. FREC instead buys the underlying individual equities directly, which means a client holds fractional shares of the S&P 500 constituents rather than an ETF share. That ownership structure unlocks per-stock tax-loss harvesting and individual-stock-level customization—excluding specific companies or overweighting names the client favors—which an ETF wrapper cannot match.

FREC does not publish a static published minimum, but its product architecture and marketing are built for accounts in the low five-figure range—far below the $250,000 to $500,000 minimums typical at legacy direct-indexing providers like Parametric or Aperio. The platform's fractional-share execution makes small-portfolio direct indexing mathematically viable.

Co-Founder and CEO Chandan Lodha oversees product and portfolio-construction logic. He previously traded quant strategies at a proprietary firm and worked as a product manager at Google. Co-Founder and CTO John Mileham came from Betterment, where he led tax-smart technology development. Investment decisions are rules-based and automated; there is no discretionary portfolio manager calling individual stock picks.

FREC is a technology platform, not a fund. It does not manage pooled vehicles or commit capital to external funds. Its sole delivery mechanism is the direct-indexed separately managed account—individual clients own their own fractional positions directly, custodied at Apex Clearing.

FREC targets US large-cap publicly traded equities via a direct-indexing framework. It does not invest in private companies, pre-IPO equity, or venture-stage assets. The platform's universe is benchmark-constituent stocks, predominantly the S&P 500 and comparable broad-market indexes.

FREC does not impose blanket sector exclusions on any client portfolio. Instead, individual investors can select their own exclusion or underweighting rules—common examples include fossil-fuel producers, tobacco manufacturers, or defense contractors—custom tailored at the stock level rather than through a pre-packaged ESG fund or blanket screen.

FREC competes in the same product category—direct indexing—but distributes through a consumer-grade mobile interface instead of through financial advisors. Parametric, owned by Morgan Stanley, serves the RIA and institutional channel with high account minimums and an advisor-managed fee structure. FREC disintermediates that model by selling the technology directly to retail users at a lower cost point, without a human portfolio manager in the middle.