Laio Santos, a former CEO of brokerage firm Rico and ex-partner at XP Investimentos, has launched a new wealth management firm named Reinvent. This firm aims to cater to mid-ticket investors who are often overlooked by traditional banks and digital platforms. By leveraging generative artificial intelligence, Santos and his partners, Luis Souza and Heucles Bianco, both former XP executives, seek to enhance service quality while scaling their operations.
Key Takeaways
Target Audience: Mid-ticket investors, typically underserved by high-income segments of banks.
Business Model: Charges a flat management fee of 0.7% on client assets with a minimum investment of R$100,000.
AI Integration: Combines human expertise with AI for portfolio monitoring and client support.
Investment Strategy: Proactive management using AI to identify market opportunities before clients.
Venture Capital Backing: Secured R$5 million in seed funding from investors like Canary.
The Vision Behind Reinvent
Santos emphasizes that the firm is designed to provide quality service to clients who have assets between R$100,000 and R$500,000. He believes that while these clients enjoy premium services in other areas of their lives, they often receive inadequate attention in the investment market.
"The challenge was always figuring out how 20 people could make a difference in the lives of 1 million investors," Santos stated, reflecting on his previous experience at Rico.
How AI Enhances Client Interaction
Reinvent utilizes generative AI to streamline operations, allowing advisors to focus on meaningful client interactions. The AI technology monitors market activities 24/7, enabling the firm to respond proactively to changes that may affect client portfolios. This capability allows advisors to save significant time on operational tasks, with estimates suggesting they can reclaim at least three hours of work each day.
For instance, onboarding a new client traditionally takes about 120 minutes, but with AI, this process can be reduced to just 20 minutes.
Transparent Fee Structure
The firm operates on a clear fee structure, charging a flat management fee of 0.7% on client assets. Santos emphasizes transparency, stating, "Clients know exactly what they are paying." This approach contrasts with many traditional firms that often rely on commissions and rebates, which can obscure the true cost of services.
Future Collaborations and Growth
Currently, Reinvent is connected with XP and is in the process of integrating with BTG Pactual. The firm is also exploring partnerships with other financial institutions like Nubank and Itaú, ensuring that they can offer clients the best products available without being tied to any single institution.
Conclusion
With the launch of Reinvent, Laio Santos and his team are poised to fill a significant gap in the wealth management market. By combining human expertise with cutting-edge AI technology, they aim to provide a level of service that meets the needs of mid-ticket investors, ensuring they receive the attention and quality service they deserve. The firm’s innovative approach has already attracted the interest of venture capitalists, signaling a promising future in the competitive landscape of asset management.
Sources
Former XP partner launches AI-driven asset management firm, Valor International.