IDX
📈 Indexa Capital Group successfully listed on BME Growth (ticker IDX) as a strategic move for visibility, trust, and long-term independence, aiming for significant growth (targeting €10B AUM by 2030) and potentially moving to the main market.
💰 The company is highlighted as the only independent and profitable robo-advisor in Spain, emphasizing efficiency and sustainable low fees, with plans to continue lowering commissions as volume grows.
⚠️ Despite listing 100% of shares, the current free float is low (9%), resulting in very low trading liquidity on BME Growth, which is acknowledged as a challenge needing improvement for broader investor access and a potential move to the continuous market.
@Javierlinares:
“Have you taken Indexa Capital public? It’s an important milestone, the first company, right, that takes it public? Yes, yes, well, we’ve taken it to the small stock exchange for now. So, Indexa Capital Group, which is the holding company that includes Indexa Capital, Bewater, and also includes our subsidiary in France because we opened Indexa in France recently, we have taken Indexa Capital Group to BME Growth, which is the stock exchange for SMEs, right, from BME. We did it with a triple objective: to have more visibility and also give more confidence. The plan with Indexa Capital Group is to grow in the long term, and we think we will grow more and add more value by being independent. Right now, we are at 3,000 million, 3,200 million managed, but we expect to be at 10,000 million in 2030, at 15,000 million in 2031, and in the market we are in, we think we can continue growing a lot in the long term and independently. To remain independent, we thought it was better to be listed ourselves on the stock exchange so that whoever wants to invest can invest, and whoever wants to divest can also do so without us having to sell to a bank, which is kind of the path that would await us if we didn’t go public. Since we don’t want to sell to a bank, because if we sold to a bank, what would happen? They would start placing their funds, right? They wouldn’t be Vanguard funds anymore, maybe other funds. So, we think it has a lot of value for our clients to be able to choose the best service for them, to be independent, not to have those conflicts of interest of banking groups. Therefore, we think it has value to remain independent, and that’s why we went public on BME Growth for now, with the goal of growing and moving to the continuous market at some point, and then starting to enter the indices, right? And being able to continue the path in the long term. What benefit does it have? Because now, being listed, you have to publish everything, right, transparently, I imagine the accounts and so on? Yes, yes, yes. What profit are you making at Indexa? On March 27th, in 10 days, we will publish the results for 2024, and I can’t tell you in the meantime. The previous profit for 2023 was a little over €600,000, considering we are investing massively for development in France. It wasn’t €600,000 at the group level; it was lower in the last… The current result we have already published is for the first half of 2024, and in 10 days, we will publish the next one. What is noteworthy is that Indexa Capital is the only automated manager, which is what we do, right, automated portfolio manager, that is profitable in Spain, independent and profitable in Spain. We were the first to be profitable in Europe, and we achieved that because we put a lot of emphasis on being efficient in capital consumption. We set up Indexa charging clients little but also spending little ourselves because we thought we wanted to offer a service where the low commission is sustainable over time. We never do promotions or specific offers, right? The price is low, it’s an SPB, right, as Mercadona says, always low prices, right? And low commission, but sustainable because the company is profitable. And also, a commission that keeps going down because as we grow in volume, we continue lowering the commission. So, every year on January 1st, well, on December 15th we announce the reduction, and on January 1st, there is a reduction in some or several of our services. What percentage of shares are circulating in the market that people can buy? So, 100% is listed. We actually did a listing, it wasn’t a capital increase; we didn’t go public by increasing capital, but we listed. 100% is listed, 9% is what they call free float, and the free float is defined as shares of shareholders with less than 5%. If you add up those with less than 5%, there’s only 9%. The company is now valued at a little over 110 million. 9% of 110 million is like 10 million worth of shares that are more likely to change hands, although those with more than 5% can also sell or buy. Liquidity is very low at the moment; that’s kind of what we still lack, right? I think the IPO has been a good experience for us because we see it as a step on the path to going to the continuous market. The downside is that there is very little liquidity at the moment. So, it’s a stock that trades little, and we lack more shareholder dispersion, more shareholders, and basically, we need more active managers, right, buying and selling so that liquidity increases and we can move to the continuous market when there is more liquidity. Is there a big difference in trading volume between the continuous market and BME Growth? I don’t know because we haven’t been on the continuous market yet. Liquidity is a problem for European stock exchanges in general, not just BME Growth, also the continuous market, also other European exchanges. But I sense, I mean, part of the current problem is that the shares are not available on all platforms. BME Growth shares are available on the brokers of banks in general, but they are not available on all brokers. So, it’s lacking… BME needs to somehow distribute better.”
Watch the exact part of the video where Javier Linares talks about Indexa Capital Group here:
Watch the video on YouTube
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