Revolut has partnered with Apollo, Ares, Hamilton Lane and Partners Group to offer eligible European customers access to private equity, private credit and infrastructure funds through its app.
The participating asset managers collectively oversee more than $2.8 trillion in assets under management or supervision.
Revolut will evaluate each fund based on its strategy, historical performance, operational resilience and ability to perform across different market environments.
Private market investments have traditionally been available primarily to institutional and wealthy investors because of high minimum investments, complicated subscription processes and long holding periods.
Revolut said its new offering will lower the minimum barriers to selected funds, although management fees, performance fees and other expenses will apply.
The funds will use the European Long-Term Investment Fund 2.0 framework.
ELTIF 2.0 is a European Union regulatory structure intended to give individual investors greater access to long-term assets such as private companies, privately negotiated loans and infrastructure projects.
The funds offered through Revolut will use evergreen structures with existing portfolios, allowing capital to be invested without waiting for a traditional private fund to gradually call investor commitments.
Although the funds will offer periodic redemption windows, they remain illiquid investments.
Redemption requests may be delayed, limited or suspended, and investors should be prepared to hold their positions for multiple years. Revolut stated that an ELTIF should represent only a limited portion of an investor’s overall portfolio.
Private market investments also carry the risk of capital loss, valuation uncertainty and greater complexity than publicly traded stocks or exchange-traded funds.
Availability will vary by country and will be limited to eligible, experienced investors whose objectives and risk tolerance are appropriate for the products.
Revolut serves approximately 75 million customers globally and already offers stocks, ETFs, money market funds, bonds, automated portfolios and other investment products.
KEY QUOTE:
“This isn’t just about offering lower entry points, it’s about giving our users the tools to build sophisticated, diversified and resilient portfolios for the long term.”
“These funds are intentionally structured for patient capital, matching the true nature of private assets, and we believe they will fundamentally level the playing field between everyday portfolios and institutional private markets investment strategies.”
Rolandas Juteika, Head of Wealth and Trading for the European Economic Area at Revolut
