Revolut launches private markets for French customers

A new opportunity is now available to the fintech’s customers.

From Monday 27 July, Revolut customers in France can access a new investment opportunity. The fintech has launched its “private markets” offering, opening up investments that have traditionally been reserved for institutional investors.

Revolut private markets: access to alternative investments

According to the British company, this product range gives experienced investors a route into the fast-growing private markets sector. Through the Revolut app, they can diversify their portfolios across private equity, credit and infrastructure.

Private markets have typically been limited to wealthy investors, who often commit more than €100,000, while the administrative requirements associated with these investments can be demanding.

By making this market available, Revolut could significantly broaden access to this area, although the company clearly states that “fees, including management fees and performance fees, apply”.

Rolandas Juteika, Head of Wealth and Trading (EEA) at Revolut, said: “Private markets have long been the missing asset class in the average investor’s portfolio, not because of a lack of interest, but because of a lack of access. By partnering with leading players such as Apollo, Ares, Hamilton Lane and Partners Group, we are completely changing the game.”

To enable its users to invest, the fintech has entered into agreements with four well-known funds: Apollo, Ares, Hamilton Lane and Partners Group. The company adds:

Trusted by pension funds, sovereign wealth funds and institutional investors around the world, these firms collectively manage and oversee more than $2,800 billion in assets.

Private market investments carry risks

Before investing, however, customers should recognise that these funds “remain inherently illiquid investments, as the underlying assets are themselves illiquid. Redemptions are not guaranteed and may be subject to restrictions or suspension, in accordance with the terms of each fund. They are therefore intended for investors with an investment horizon of several years who do not need rapid access to their capital.”

Revolut also explains: “Private market funds carry significant risks, including illiquidity, loss of capital and complexity; and have limited liquidity compared with publicly traded assets, such as shares or ETFs. These products may not be suitable for all retail investors.”

Read the documents and diversify investments

It is therefore strongly advisable to read the information documents before getting started and to diversify investments in order to avoid putting yourself at risk.