Continuing my discussions with funds and lawyers. Spoke so far with New Edge, PT Co, Golden Bridge, NEST, and SIF Investment. I have Portugal Yield and Rock Capital in next couple days but have questions about them. Also spoke with Mercan about their Marriott project. Really like NEST but don’t think I can get it together in next 4 weeks (though will try). Many others having some trouble raising funds or focused in RE areas I’m not crazy about. PT Co is closing soon and New Edge, while very safe, doesn’t feel right. I liked Golden Bridge but worried they are in it for 6 years and if I don’t have passport by then, too bad. They are having trouble getting funds raised but are aiming for 8% annual return, paid only at the conclusion. If we can’t get NEST, likely will turn to SIF - raised half their funds so far, 5% annually paid return based on more of a true VC model of loans with set interest rates in a variety of areas (not just RE). Seems to me like a relatively safer bet - maintains my investment with some ok upside potential. Anyone else spoken with them yet?
Happy to share lawyer info. I’ve spoken with around 6 groups. Prices vary widely so it pays to shop around. (I think the excel that’s shared misses some fees - especially full detail on the annual tax rep charges)
Hi Larry, thanks for your sharing info. I am still interested in Mercan’s Marriott project, but need to dig out more info on if it’s safe and what’s condition for buy back guaranteed after 5or 6 yrs later. The key issue is if which option would be more costy btw fund and RE investment? Given fund option is still quite new(only started from 2016), I am expecting to know there is anybody really involving such investment. I don’t care too much on ROI cos down side risk should be the priority to consider. Can you share lawyer info? I have yet to speak with either PT or New Edge fund management company, but NEST sounds more safe among your pick. Where to get info on NEST? thanks in advance !
Hi Jeff, thanks for sharing the view. Re Quadrantis, I don’t find more info on their website. Based on NEW ADGE introduction, the risk level should be lower than other VCs. However, I don’t have channel to see the key contents on New edge, and also don’t know which legal party the investors should be engaged in such fund investment ? Qudarantis or NEW Edge fund itself?
Hello everyone! Although I am really early in the process, as I don’t expect to be making the move to invest until next year in hopes of a more favorable exchange rate, I really appreciate all the collaboration here. It is hard to invest in funds in the US let alone outside of the country. The investment option, although riskier compared to real state, provides a more affordable investment. The option of purchasing 280K in real state, although interesting, as I understand will require a remodeling project that has to be approved with all permits and remodeling hassles you would usually encounter in projects of that nature. So, I gave that up, unfortunately. My main goal is Portuguese citizenship because I plan to retire in Europe and maybe provide some more affordable University options to my kids, therefore if I can get at least my investment back I am happy. In any case, I would like to thank everyone here for all the tips. It would be interesting to know also your experience with the whole process as you get further along!! Thank you again!!
Cristiano
I’ll start with my views of the Mercan project. On the positive, they have a long history of successful projects, and many in PT. Addressing some concerns raised here previously - They have a 15 year signed agreement with Marriott. The construction is set to begin this year and say they guarantee buy back (including if your GV falls thru). Of course any of these could theoretically fall thru but their track record tells otherwise. Any direct RE purchase comes with some added fees that fund purchases do not have. If you are looking for relative safe capital investments, this one is not bad and has a 3% annual return as well as 1 week/year you can stay at the property (which can roll over year to year they told me). We considered this project but don’t think we want to go the true RE route. Btw I would not do their other two open projects - Broadway or Hilton for a variety of reasons (no guaranteed buy back and no annual payment/in a more remote area respectively).
For those who may not have received it, and are interested in the Nest fund, they just sent me a “Last Call” email, saying that if you want to invest, but have not opened a bank account, you need to do so by September 15. Personally, I will pass for various reasons, but they say they have 75 investors for over €25m (and are expecting to have 100 investors for €35m), which is very impressive compared to the competition.
Best of luck to all who go with them!
Thanks for the info. They told me they are taking commitment letters and the investors are voting to possibly extend the fund a few months to let more people in. To answer a previous question - they have info available online here https://www.pamgolding.co.za/Uploads/areaguides/fb27cc7b-3ead-4f41-9d87-2910c8d25ef7/Brochure/the-nest-capital-fund-presentation.pdf
Larry, I’m curious how your calls went. I talked to Joao and felt it was a pretty constructive call. Their info packet had a ton of information already so I was able to dig down into some of the details. It was also good to get a feel of whom I’d be giving my money to if we move forward. I do like the returns vs risk and the fees were way simpler than some other funds.
I’m curious, which fund are you referring to?
Many thanks!
Hi Julia - I did a call today with Jerry Morgan at Mercan and they have a lot of information to share about their opportunities. If you want the contact info, send me a message and I will share.
Hi Christopher:
Thanks for your msg.
Yeah, I hope to get more detailed info from Mercan. My contact info: [email address removed by moderator, please use the messaging system]
Thanks lot!
BR,
Julia
I just got a couple of fund decks from my lawyers. Those are tech VC.
I’m not an investment professional, but to me, this definitely looks more interesting than sinking 350k into a real estate with bleak future.
Those of you who are more familiar with investment funds, what do you think?
Just depends on your tastes really. “Bleak future” is just an opinion/viewpoint, everyone has one. 
Good to know more options exist and I think funds like this probably benefit Portugal as much or more than real estate since they are direct job creators and truly help liven the economy if they succeed beyond borders, assuming the startups are Portugal-based and hire in Portugal, which I would like to assume is being encouraged or required.
Thanks very much for this. At first glance, I think these look VERY interesting, and are much more similar to the types of “true” VC funds that I am used to seeing professionally. I am going to explore both!
Hi Bill, they’re currently on the top of my list too due to the fund focus/approach, financial modelling & the fact that they seem to have genuine experience (5 projects).
However, I haven’t heard from them after the call (Had requested details on the previous projects & a call with Lince Capital)…
Would love to know how it progresses with them…
~Akshay
the very unusual phenomena on portugal VCs are the introduction on their website is quite poor. I explored more works on both QUADRANTIS CAPITAL and Lince PT. However, both companies are lack of track records on their upcoming fund in fund, and have very small register capital with themselves. I doubt if they could keep the performance consistent and prudent after 5 or 6yrs …
Thanks Akshay. I’m still exploring other options, but will certainly keep them as one of my options. I’ll particularly be interested to see how much capital they can raise. The financial model is very attractive, but my concern is that this is their first fund, which is very different than doing projects one by one. But still a very interesting proposition.
I am still investigating this project too. suspect their financial forecasting is too optimistic , say 68% occupancy rate once start operation in 2022.