FinTech Titanbay hopes to democratise the private equity investment space by removing the barriers preventing smaller investors from accessing to the market.
Serial entrepreneur CEO Thomas Eskebaek is leading the London-based company and claims its innovative technology platform will empower smaller investors to tap in to allocations in leading private equity funds.
“We estimate that the cost to smaller institutional investors such as pension funds, trusts, charities, institutions and family offices of being effectively excluded from strategically investing in private equity runs into hundreds of billions of dollars per year,” said Eskebaek.
“Titanbay sets out to redress this by providing our members with access to the top-performing funds and the analysis tools they require to construct a thoughtful private equity and alternatives portfolio akin to those of leading large investors.
“Alternatives and private equity’s illiquid nature drives enhanced returns and, with a thoughtful, strategic and diversified investment approach, can help investors to create a more balanced portfolio and weather broader market turbulence effectively.”
Titanbay’s team also includes J.P. Morgan and Capital Group alumni. It is backed by more than 30 investors and advisors.
Titanbay’s proprietary portfolio analysis tool is the cornerstone of its aim to democratise the private equity space. “Our digital platform opens up strategic private equity investing to a whole new class of investors,” said Eskebaek.
The platform does this by empowering investors to set up intelligent and thoughtful PE investment strategies that meet their particular investment criteria. It also facilitates investors’ allocation decisions by enabling them to view their portfolio in several different ways such as by strategy, sector and geography, providing information on NAV and cash flow projections and running simulations that visualise how potential new investments could affect their portfolio.
By doing so, Titanbay hopes to give qualified investors access to the same top-tier private equity funds as the largest institutional investors with low investment minimums and low fees.
The advisory board will lead the fund selection and includes Thomas Schleicher, the CIO of KIRKBI, the Kirk Kristiansen family’s private holding and investment company; Marcello Bottoli, former CEO of Samsonite and operating partner for Advent International; and Jussi Nyrölä, a former senior director at EQT.
For GPs, Titanbay adds value by opening a new $50tn underserved pool of capital from smaller institutions, family offices and private investors, while handling all of the operational complexities that come with smaller investments.
Titanbay is a first-close LP, with fast and straightforward investment decision-making processes.
The news about the launch comes after a soft-launch earlier this spring to a closed network. It has already successfully completed its first investments.
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