Archinvest launches its secondary platform and a personalized service to support its investors!

2 minutes
November 16, 2023

Archinvest launches its secondary market platform and a personalized service to help investors find liquidity for their private equity investments! #secondary #liquidity #privateequity

Pierre-Olivier Desplanches explains in this video why liquidity is now possible on non-listed markets. Historically reserved for institutional investors, the secondary market is now accessible to retail investors and their CGP and MFO advisors. #Archinvest #Partner #CGP #MFO

If you would like to discuss liquidity for your investment fund units, please contact our team at contact@archinvest.am

🏳 Disclaimer: Archinvest is an AMF-approved management company under number GP-202221. This is an advertising communication. Please refer to the regulations and the key information document for Archinvest funds at www.archinvest.am.

-- Transcription :

How does Archinvest support investors with liquidity needs?

In the life of the investor, there can be imponderables. So when you invest in a fund, some people think the money is locked in. As you know, this is not the case. You have staggered cash flows, but the last cash flow will be called year 4, year 5, and it will be invested for 4 to 5 years.

So a fund's lifespan is effectively around ten years. This means that over this period, if there's an imponderable event, we won't guarantee liquidity to the investor, but we will find a solution. In other words, as a platform, we'll have hundreds of investors invested in the fund in question, and if an investor needs to exit before the end of his investment period, we'll be able to find him a counterparty, either a platform investor at a market price, or a member of our team because, as Emilie said, we also invest in funds. Or it could be a third party, because in fact, we're already in contact with people who have told us, "We're from the secondary sector, we know the funds you're offering, they're tier one funds, we like them".

We're looking for secondary opportunities in the retail investor market. If you have any opportunities, let us know.

What's important to understand is that when I joined Carlyle in 1999, there was no secondary market for institutional investors.

An institutional investor would invest in a fund and wait for the money to be returned before reinvesting it. Today, the secondary market has become very important. Institutional investors can sell their fund units on the open market to other institutional investors. And we're convinced that the secondary market for retail investors will grow, just as it has for institutional investors. Today, the market is not deep enough, not mature enough. But it's clear that you have players who are going to start structuring the offer so that it becomes much more industrialized. In any case, our aim is to offer peace of mind. In other words, investors normally stay until the end of the investment process. But if he ever needs to get out, he can count on us to find a solution for him to sell his position.

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Information

Archinvest is a Société par Actions Simplifiée (simplified joint stock company) with share capital of €2,173,917, headquartered at 28 cours Albert 1er, Paris, France, and registered with the Paris Trade and Companies Register under no. 918 501 404. The management company is regulated and approved by theAMF under number GP-202221.