Alt Investments

Nomura, Instinet Target Thirst For Private Market Access

Editorial Staff, 22 June 2022

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A clutch of organisations have arisen to tap a market for wider investors access to these asset classes. Sometimes industry figures talk of how the sector is getting “democratised”.

Japan’s Nomura and its brokerage business, Instinet, have launched a digital private investment platform into the European market. Instinet DealMatch connects institutional investors in Europe with companies wanting to raise private capital.

The banking group said Instinet DealMatch is designed to improve efficiency, speed up time to market, and broaden access to a much wider array of institutional investors than previously possible.

On the digital platform, investors can get hold of teasers and offering memoranda, and view ideas virtually.

The offering also gives private companies seeking to raise capital access to a larger and more diverse pool of potential investors than traditional private placements, Nomura and Instinet said in a statement. 

Such an offering comes amid continued ferment over private market investment areas such as private equity, credit, forms of real estate and infrastructure, and types of hedge funds. These typically offer higher returns than conventional listed equities and bonds, albeit traditionally for lower levels of liquidity. A clutch of organisations such as iCapital Network, CAIS, YieldStreet and Moonfare, among others, have arisen to tap a market for wider investors access to these asset classes. Sometimes industry figures talk of how the sector is becoming “democratised”.

Among other features, Nomura and Instinet said the platform gives a digital, more efficient way for institutional investors to connect, establish preferences, learn about new opportunities, place orders, track their progress, and complete investments.

Investors can set preferences, tailoring the deal recommendations that are offered to them so they see the most appropriate opportunities.

“As private placement activity continues to grow significantly in Europe, it is critical to ensure that our execution capabilities match this trend,” Myles Evanson, Nomura head of private placements, EMEA, said.

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