The Altaroc offer
Summary
Written transcription
Frédéric Stolar: Maurice Tchenio and I are both highly experienced Private Equity professionals. Maurice literally created the Private Equity industry in Europe 50 years ago, and I've been in the business for 35 years. We've both created and managed some of the world's leading Private Equity funds. He, Apax and I, Sagard. If I had to sum up our ambition in a few words, what drives us every day is to bring private clients 50 years of institutional Private Equity innovation. That'sAltaroc's ambition. It's to give you simple access to this asset class.
Private Equity has long been an asset class reserved for institutional investors. So when we say institutional, we mean pension funds, life insurance companies and banks for their equity. There are two reasons for this. Firstly, unit ticket sizes are very high, making it very difficult for private clients to gain access. And secondly, Private Equity is illiquid and has operational complexities that require dozens of professionals to manage portfolios. As a result, until recently, with the advent of players such as Altaroc, this asset class was reserved for institutional investors.
Our offer, because it's very simple and it's very effective: you have a vintage portfolio every year, concentrated on the two least volatile and most profitable segments of Private Equity: Growth and buyout. The portfolio is 80% invested in six exceptional global managers. We believe these six managers are the best available for subscription this year at Vintage, and the portfolio also includes 20% direct co-investment, with no fees or carried interest, exclusively alongside our managers. Thanks to this portfolio, you have very effective global exposure and diversification. We're geographically agnostic, so we give you the best of the world. And this portfolio is also built around our best sector convictions. We have chosen to seek out managers who invest in our preferred underlying sectors. And finally, when we say Private Equity, to be very clear: in our portfolios, there's no debt, there's no real estate, there's no infra, there's no impact. So it's very pure Private Equity. And finally, this is a major point, and I know that many of our partners are very attached to it: the alignment of interests. Maurice and I personally invest several tens of millions of euros a year alongside our clients, on the same terms and conditions as they do, because we believe that these are the best products for us personally to invest in. The other core element of our offer is a technological and digital platform and ecosystem designed to simplify your life. Whether you're an advisor, a private banker or an end customer. Everything is natively digital, everything is simple, everything is fluid, everything is naturally designed to make the complex institutional Private Equity experience simple for you. What does that mean? It means that you have a Partners' Area for professionals, where all the necessary information is brought together: call for funds dates, call for funds terms and conditions, company content, performance simulators, cash flow simulators, reporting.
And you have a private area for end-customers where all the information relevant to you, the end-customer, is circumscribed so that you can find at any time all the information relevant to your subscription(s) Altaroc. You'll also have daily information on the companies in which you've invested, on the ESG topics that interest you, and full quarterly reports. And whether you're a private client, advisor or banker, there are dozens of online training courses on Private Equity to help you familiarize yourself with the asset class or perfect your Private Equity knowledge. If I had to sum upAltaroc 's ambition, it's one of constant innovation at the service of private clients.
Remember, bringing the best of institutional Private Equity to your private clients. What was the Altaroc 1.0 revolution? It was about bringing you a turnkey Private Equity portfolio that was costing institutional investors several hundred million euros to build each year. We made it available for as little as €20,000 a year, drawn down over five years. And what is the Altaroc 2.0 revolution? It's an instruction manual for solving your wealth ambitions using Private Equity bricks.
We're no longer selling you Vintage dry somewhere, we're selling you an instruction manual, an investment discipline with a simulator so that, like institutional investors, you can build your own personalized retirement plan, for example. So, it's Private Equity at the service of wealth management solutions, with a turnkey simulation. This is the Altaroc 2.0 revolution.
