Stableton, in collaboration with Swissquote and Morningstar Indexes, has launched the world´s first-of-its-kind private market products to give institutional and private investors access to privately held high-growth companies.
Investing in private markets can be difficult and time-consuming. Available options typically demand high investment minimums, capital calls, long-term fund commitments of 10-12 years, opaque ‘black-box’ investments, and high fees of typically 2% management fee per annum and 20% carried interest (“performance fees”).
Stableton Financial AG, a Swiss fintech platform and investment firm specializing in private markets, has launched the world´s first private market products in collaboration with Morningstar Indexes, the fastest-growing global index provider and part of Morningstar, Inc. and Swissquote, the Swiss leader in online banking. The Stableton Unicorn investment offering is based on Stableton’s experience with VC-backed growth equity and institutional-grade investment solutions and is enriched by Morningstar Indexes expertise in data and analytics, responsible for calculating a custom unicorn index, which is the key input into the products’ investment strategy.
Two products launched
The two newly launched distinct investment products are: an open-ended Luxembourg investment fund, available to institutional investors, and a bankable Actively Managed Certificate (AMC) with a Swiss ISIN, available for public distribution to retail investors. For the AMC, Swissquote acts as Stableton’s official launch partner in Switzerland for retail investors. Both investment products seek to broadly reflect the Morningstar® PitchBook® Unicorn Select 20 IndexTM*. Morningstar’s index seeks to measure the performance of the largest 20 privately held unicorns.
“The Morningstar® PitchBook® Unicorn Select 20 IndexTM* delivers timely insights and unprecedented transparency into the performance and behaviour of some of the largest global unicorns from developed markets,” says Sanjay Arya, Head of Innovation, Index Products at Morningstar. “We are excited to see our new private market unicorn indexes being used by Stableton as a benchmark for its new investment offering. Investors now have the opportunity to gain exposure to the most promising growth opportunities in the market, which were previously difficult or even impossible to access.”
As revealed to Startupticker, Stableton will receive a management fee of 1.5% p.a. and a one-time subscription fee (1.98%). In contrast to most private market products, no performance fees will apply for the Stableton Unicorn Index AMC.
“With the Stableton Unicorn Index Offering, investing in the top 20 unicorns with just one transaction is now possible. The collaboration shows a clear need for innovation beyond publicly listed markets and that the market as a whole is evolving. The purpose-oriented collaboration shows that investments in private markets are increasingly being taken on the radar by established players. With Stableton focusing on unicorn companies, a USD 4 trillion market, we are at the forefront of this development. We are proud to receive recognition from such strong brands as Morningstar Indexes and Swissquote. This collaboration will also allow us to expand and replicate the Swiss success globally,” says Andreas Bezner, CEO of Stableton.
(Press release/RAN)
Photo L-R: Sanjay Arya, Head of Innovation, Index Products at Morningstar, Andreas Bezner, CEO OF Stableton and Jan de Schepper, Chief Sales & Marketing Officer OF Swissquote.
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