The Fintech pioneer Estating, created by Swiss, German and Luxembourg banking leaders, has managed to securitise the real estate market.
Its objective: to present a real estate investment alternative in the same way that stocks and bonds are usually traded.
Defined as "the Fintech for real estate wealth management", Estating already operates in the world's major financial centres, including Switzerland, the United States, Spain, the United Kingdom and Uruguay, and plans to start operations in Asia by 2023.
Montevideo - Founded in Luxembourg in 2020 by a group of bankers from Switzerland, Germany and Luxembourg, experts in Wealth Management and Real Estate, Estating has managed to safely bridge the gap between the private banker and the real estate investor, generating profitable and secure investment opportunities, which allow to bring the benefits of the real estate sector to a securities account.
"Securitising a real estate investment. That's what we set out to do when we started Estating. To close the historical gap that exists between these 2 types of investments which, in our experience, do not necessarily mean 2 different types of investors. The same investor, in structuring his wealth, seeks the benefits of both", says Daniel Vegue Dominguez - Co-founder and Chief Customer Officer.
To achieve this, the European start-up knew it had to assemble a team of experts in all three disciplines. Thus, a banker specialising in private banking and wealth management (Daniel Vegue Dominguez), a banker and former CEO of the first Swiss digital stock exchange, SIX Digital Exchange (Martin Halblaub) and an expert in Real Estate, founder of successful companies in the real estate sector after having held senior management positions in leading companies in the sector (Krisitina Jahn), now make up the company's management team.
Estating currently has a team of almost 30 people, 5 offices and has securitised properties on different continents. With the backing of several leading banks and Wealth Management institutions, both in Europe and Conosur, Estating's investment portfolio currently includes deals as diverse as luxury flats in Miami and Madrid, projects from developers with a long track record in the USA, portfolios of logistics parks, hotels in the Caribbean and multifamily properties in Germany. Estating selects the options that have the best risk-return profile for investors and makes them available for clients to invest with their usual financial advisor.
Mostly of European origin, and some with work experience in Latin America, its main partners and executives have years of experience in key positions in private wealth and investment management and administration companies such as Credit Suisse Group, Deutsche Bank AG; Julius Bär; SIX Digital Exchange (the Swiss digital stock exchange), NordLB Bank (one of the largest commercial banks in Germany), HSBC, UBS, "The London Stock Exchange Group" and McKinsey among others, in countries such as Switzerland, Germany or Luxembourg. In the real estate sector, Estating's partners bring an important track record in companies such as CBRE, Vonovia, Dresdner Real Estate or Engel & Voelkers among others.
Since the beginning of this year, Tomás Morixe, Marcelo Mackinlay, Joaquin Celasco and Nicolás Albistur have already been operating in Latin America. They form an interdisciplinary team with varied experience in different industries. They aim to develop new relationships in the distribution ecosystem (private banking), focusing their efforts during 2023 in Argentina, Uruguay, Chile and Panama.
"The local investor has always looked for property as a refuge for his investment, now we also bring him the novelty of keeping that capital in his banking account, with his trusted financial advisor", commented enthusiastically Nicolás Albistur, who has served in various executive roles with responsibility for Latin America in the past.
"Within the capital markets we can see an opportunity to bring real economy and real estate to the alternative product table, Estating managed to understand this need and developed its business strategy to meet the demand. Luxembourg's regulations, reliability and financial development create the ideal ecosystem to invest in this way", said Joaquin Celasco, who in the past has worked in real estate development. He has been involved in the structuring, management and marketing of real estate in the region.
"We develop portfolios of assets that allow investors to diversify their investments by location, capital structure, risk matrix and currency type, a proposition that adds value to their portfolios and helps mitigate risks", added Tomás Morixe, who has been focused on business development for several years.
"We have a great opportunity to help private banking investors access real assets in locations that have been very difficult to access for Latin American investors, such as Berlin or Frankfurt. Important cities in a country with one of the most stable economies in the world "added Marcelo Mackinlay, who has an extensive commercial background in various industries.
"We are very happy to have found the right local partners to develop such an exciting market as Latin America", said Jonathan Mossi – Head of Strategic Partnerships and Latam.