Trillions of reais abroad, seeking wealth allocation through sophisticated technological channels; Avenue foresees a major transformation in offshore investments by Brazilians in the future.
The topic was the focus of the second edition of Avenue Connection, which began on Wednesday, the 16th, in São Paulo, concentrating on the progress of international investment in Brazil, driven by the generational wealth transition.
The central theme of the event was the “Wealth Diaspora,” a concept that guided discussions on global allocation, changes in investor profiles, and new financial advisory structures.
At the opening conference, Daniel Haddad, Chief Investment Officer of Avenue, emphasized the urgency of diversification. “We are facing a real wealth diaspora. This capital needs to be planned with a long-term vision and geographic diversification,” he stated. According to him, “investing abroad is no longer a choice between alternatives, but a necessary component to preserve wealth against the loss of purchasing power of the local currency.”
This assessment is based on data from UBS, which estimates that $124 trillion will change hands by 2048 in the largest wealth transfer in history. Brazil ranks as the second-largest market in this process, with $9 trillion in transition.
Roberto Lee, CEO of Avenue, stated: “We are only at the beginning of what I call a great Brazilian wealth diaspora. We want to lead this movement, transform the market, and finally build a structural allocation abroad here. This is something that will have an impact for decades.” According to him, the change will be driven by the new generations. “For them, investment advisors who cannot offer products abroad are irrelevant.”
Lee also shared data about the profile of investors on the platform. As of 2023, over 80% were under 45 years old, with approximately one-third between 18 and 30 years old. “These young investors are making their first contributions directly into publicly traded companies in the United States. Instead of accumulating their savings in Petrobras shares, they are investing in companies like Nvidia, Tesla, Google, and Coinbase,” he said.
Another key point of the event was the advocacy for the fee-based advisory model, in which the professional is compensated with a percentage of the invested volume. “I don’t know if it will be next year or the year after, but fee-based will be dominant here. For us, this is already strategic in day-to-day operations, and we are building the entire infrastructure to be the best partner for anyone who wants to lead this change,” said Lee.
