Wednesday, Aug 10, 2022
International Finance
Asset Management Featured

Brazil’s Vinci Partners seeks to raise $250 in IPO

Vinci Partners_IF_Image
Its shares will be listed on the Nasdaq and it plans to reach a $1 billion valuation

Brazilian asset manager Vinci Partners Investments is seeking to raise $250 million in an initial public offering on Nasdaq. With that, it plans to reach a $1 billion valuation. 

It is reported that Vinci Partners will be listed under the ticker VINP.O. The asset manager has set the price range between $16 and $18 for each of its class A shares. It has $8.6 billion in assets under management. 

The IPO listing comes at a time as Brazilians are moving a significant portion of their savings out of government bonds for higher returns. It is reported that the country’s benchmark rate is below 2 percent, marking a record-low. 

Last year, Brazil’s asset management industry stood at $1.13 trillion, according to data from the Brazilian Association of Financial and Capital Markets. 

A report published by Oliver Wyman said “In Brazil, we estimate that independent platforms hold nearly 10 percent of clients’ assets and that this share could grow up to 25 percent in 2024. As investment platforms expands, they will have the possibility to tap into adjacent markets – such as payments, insurance, and credit-, tapping into the deep knowledge they are constructing of their clients, a nascent trust relationship and leveraging their light and quick structure to provide more tailored solutions than currently offered by traditional institutions.” 

It has a growing population and is currently the sixth most populous economy in the world. Traditionally, Brazilians are characterised making risk-averse savings and investments, largely investing in fixed income products.

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