VEF

NAV momentum

10 June 2021

VEF’s Q121 NAV per share was up 17% since our initiation in November 2020. The NAV uplift is a result of positive operating trends and successful capital raising of its invested companies, the highlight being Creditas, a Brazilian online secured lending platform, which accounts for 42% of Q121 NAV. In its Q121 results, VEF also highlighted Konfio, a Mexican unsecured SME lender that is its second largest investment, growing at a good pace and with lower costs than anticipated. VEF had a US$61m rights issue in December, providing money for further growth. VEF trades at a 14% discount to NAV and could offer an attractive entry point for growth-oriented investors that cannot easily get direct exposure to the emerging market fintech asset class. MORE »

Digitalisation dynamo

6 November 2020

VEF is a unique, fairly young company focused on fintech in emerging markets where financial services are underpenetrated and populations are jumping straight to digitalisation, with COVID-19 accelerating this trend. It is particularly focused on Brazil, which offers enormous growth potential with over 200 million people, high online penetration, scalability, incumbents with concentrated market shares and high pricing, and regulatory support for fintechs. VEF trades at a discount to NAV (13%) following a 20% NAV increase in Q320 and could offer a very attractive entry point for growth-oriented investors who cannot easily get exposure to this asset class. Its track record is limited, but realisations so far have made a 65% IRR, and VEF is backed by highly regarded shareholders. MORE »