Diversify Your Portfolio with Raizers by Gaining Access to Exclusive Private Investment Vehicles
There are many ways to diversify and grow your wealth. A savings product like life insurance, for example, allows you to invest in a wide range of financial assets. The goal? To strike the right balance between maximizing returns and minimizing risk by focusing on the investment vehicles best suited to your investor profile. Read on to learn more!
Why invest with Raizers to grow and diversify your assets?
Raizers, a savings platform specializing in real estate crowdfunding and life insurance brokerage, has been making investment opportunities available to both individuals and professionals since 2014. With operations in France, Switzerland, Luxembourg, Belgium, and Spain, the company currently offers investors an average annual returnof approximately 10%* and has raised over 450 million euros across 450 projects.
Through the wide range of alternative investment solutions offered as part of its life insurance brokerage business, Raizers helps you diversify your asset portfolio. This strategy offers a clear advantage, as it allows you to expect better long-term performance while spreading risk. Indeed, investing across multiple assets means less sensitivity to market volatility and greater flexibility to adjust your investments according to current trends.
What are the private funding options exclusive to Raizers?
Through the life insurance policies offered by Generali, its partner insurer, Raizers provides investments in exclusive funds carefully selected by its teams of experts. These investment options come in various forms within the insurer’s catalog. Generally speaking, you can choose between:
structured products (collective investment vehicles based on financial assets known as “underlyings,” which include—among other things—stocks, currencies, and stock market indices);
thematic funds (investment vehicles linked to promising themes that may encompass various sectors, such as real estate, healthcare, or the environment, for example);
bond or diversified funds (collective investment funds that invest in a variety of bonds);
various investment units (IU) relevant to current market trends.
To help you better visualize and understand the main investment vehicles you can use to grow your savings, we’ve put together an overview of the most popular financial products that make up these private investment vehicles. Keep in mind that this is not an exhaustive list and that, depending on your investment strategy, other products may be worth considering to help your portfolio grow.
Private Equity
Private equity is an investment approach based on providing capital to companies that are not publicly traded. In practice, you invest in companies at various stages of maturity, with the primary goal of capitalizing on their growth, market presence, or eventual sale to grow your savings. There are many investment strategies depending on the type of companies targeted. To give you an idea, these include:
Seed capital, which involves acquiring an equity stake in companies in the research and development stage that show high potential for the future. This strategy carries a financial risk that is considered relatively high, given the uncertainty associated with the development of the portfolio company;
Venture capital, which can be seen as the logical next step after seed capital. It targets startups that are struggling to generate revenue and have difficulty securing traditional financing;
Growth capital, which targets more stable and sustainable companies with a strong need for financing to fuel their growth;
Succession financing, which is based on the principle of leveraged buyouts to facilitate the transfer or sale of a business;
It should be noted that private equity also allows for investment in various types of funds. Examples include sovereign wealth funds (owned by a government), thematic funds, and mutual funds.
Money Market Funds
Characterized by a limited risk of capital loss, money market funds are considered safe investments. Well-suited for short-term investments, the money market fund market is based on liquid investments, which gives it great flexibility.
For individual investors, the market for negotiable debt securities (TCN) is the most relevant option. It includes:
treasury bills issued by companies on the market;
negotiable treasury bills( ) issued by the French government through the Public Treasury;
certificates of deposit issued by credit institutions.
Real Estate Deal Clubs
Real estate club deals, which are becoming increasingly popular among investors, operate similarly to an SCPI (real estate investment trust) or an OPCI (real estate collective investment vehicle). They consist of a group of investors seeking to acquire real estate, with the primary goal of generating a profit. The targeted properties can include residential homes, commercial properties, hotels, restaurants, or, more broadly, corporate office spaces.
The main appeal of a real estate club deal lies in its decision-making process. Unlike other real estate investment vehicles, you choose the properties to acquire with a specific project in mind (renovation, creation of office space, demolition, etc.), guided by a simple goal: to realize the highest possible capital gain upon resale.
When confirming your investment in the club deal, you have two options.
Two possible input modes
Become a shareholder
You become a co-owner of the project, which means taking on a higher level of risk but also the potential for greater returns. In fact, there is no cap on these returns, and they are directly tied to the success of the real estate venture.
Participate in the project as a bondholder
In this scenario, you assume the status of a creditor, since you are solely contributing to the financing of the transaction. While this is a less risky option than taking an equity stake, the potential returns are necessarily lower. The return is set based on an interest rate known at the time of the investment, which provides you with greater predictability.
Good to Know
Bondholders have priority over shareholders during the distribution phase.
ETFs
An ETF (exchange-traded fund) is a publicly traded investment fund whose objective is to track the performance of a stock market index as closely as possible, whether the index is rising or falling.
In this regard, ETFs (or trackers) are unique in that they can be bought or sold at any time, depending on market conditions. In practical terms, keep in mind that they represent a diversified portfolio of assets, categorized by a specific industry sector or investment strategy.
As such, ETFs are generally considered a good entry point for novice investors who want to gain experience and understand financial and stock market mechanisms.
The amount of tax owed on a life insurance policy depends on three major factors: the length of time the policy has been held, the date the premiums were paid, and the amount of the premiums.
Structured Products
By definition, a structured product refers to a collective investment composed of at least two financial assets. These assets can take various forms, such as stocks, currencies, commodities, or stock market indices. As a result, structured products are favored by investors who wish to diversify their investments.
Generally speaking, there are two categories of structured products:
so-called yield products, which are based on the realization of a market scenario and often offer a predetermined return;
so-called directional products, in which the value of the returns is directly linked to the performance of the financial assets.
If premiums were paid before the policyholder turned 70, then the tax exemption per beneficiary is set at 152,000 euros. This means that a parent wishing to distribute their estate equally among their three children can, in theory, avoid taxation if the total value of their life insurance policy does not exceed 456,000 euros.
If the expected share per beneficiary exceeds 152,000 euros, then a flat tax rate applies. This rate is set at:
20% for the bracket between 152,000 and 700,000 euros;
31.5% for the bracket above 700,000.
SCPIs
An SCPI (société civile de placement immobilier) is a collective investment vehicle (OPC) specializing in rental investments. Also known as “pierre-papier , ” it takes the form of a company not listed on the stock exchange.
In practical terms, the primary objective of an SCPI is to raise funds from various investors to finance the acquisition and management of a real estate portfolio. It should be noted that the properties acquired are intended for rental. Therefore, it is the income generated from these rentals that determines your return. Simply put, the higher the rents and the lower the vacancy rate, the greater the potential return.
The main advantage of investing in an SCPI lies in delegating tasks to the management company. In other words, finding properties and tenants, handling move-in inspections, and carrying out repairs are entirely the responsibility of the managers. However, as an investor, you must pay annual management fees.
It’s worth noting that it’s entirely possible to invest in an SCPI through a life insurance policy if you opt for a multi-asset investment vehicle using unit-linked funds.
Good to Know
In addition to life insurance, other savings products allow you to invest in unit-linked funds, such as SCPIs. This is particularly true of the PER (retirement savings plan) and capitalization contracts.