Swap Funds: The Alternative for Developers to IPOs

(VEJA) Model eliminates the high costs of a stock exchange listing

With the drought of traditional IPOs on the stock exchange for four years, the real estate sector – which has always been a sector whose growth depended precisely on capital injections and had the IPO as a major driver – is seeing an alternative for capitalization grow. These are the swap funds. The founding partner of the financial advisory boutique Seneca Evercore, Daniel Wainstein, defines the model as the “IPO of development projects.”

In this format, financial investors start to have participation in real estate developments — instead of participation in the development company — while developers obtain the necessary resources to carry out their projects. “The model eliminates the high costs of a stock exchange listing, such as regulatory obligations and maintaining the relationship with investors. This has only recently become viable since the real estate investment market has grown significantly, while investors seek to invest their resources in funds focused on this market,” says Wainstein.

Published on 10/04/2025 and available at: https://veja.abril.com.br/coluna/radar-economico/como-fundos-de-permuta-para-incorporadoras-sao-alternativas-ao-ipo/.