The Chilean fintech LAKPA continues to expand its presence in Mexico, forging alliances in one of Latin America’s largest markets and broadening its offerings. The latest milestone in this growth journey is a partnership with J.P. Morgan Asset Management, which will allow the fintech to offer model portfolios from the U.S. asset manager to Mexican clients.
The agreement enables the tech firm to access model portfolios from the renowned investment house, highlighted Alicia Arias, Commercial Director at LAKPA. “This will allow our financial advisors to offer their clients an investment portfolio designed by J.P. Morgan Asset Management, which will be acquired directly in each investor’s account,” she explained.
These investment portfolios, tailored to the needs of Mexican investors, utilize efficient investment vehicles available through the International Quotation System of the local market, according to Arias.
“We are pleased to provide our advisors with portfolios designed by a team of experts with more than 50 years of experience in multi-asset investment solutions, backed by a solid track record of value generation,” Arias emphasized. This team, she noted, manages over $460 billion globally and has more than 1,300 investment professionals.
The fintech aims to establish itself as an investment advisor offering a comprehensive ecosystem for financial advisors who wish to work independently. With this model, investors can maintain their investments with their preferred brokerage house — with which LAKPA has commercial partnerships — while the management remains in the hands of their trusted advisors, facilitated through the fintech’s platform.
To date, the Chilean firm has formed alliances with Actinver, GBM, Invex, Finamex, Scotia Wealth Management, and Banorte Casa de Bolsa, as stated on its website.
Conquering the Mexican Market
Strengthening ties with various players in the Mexican market is one of the key drivers of the company’s evolution in the country. “Beyond technology, which is a central pillar of our value proposition, LAKPA Mexico continues to establish commercial partnerships, both with counterparts for operations and custody and with global asset managers, to access the best financial market solutions in the public and private sectors,” said Arias.
In this regard, she expressed optimism about replicating the success LAKPA has achieved in Chile in the Mexican market. “We are very pleased to have reached milestones like surpassing $1 billion in advised assets,” she added.
The fintech views Mexico as fertile ground for financial advisory services, both in terms of supply and demand. “In the country, few people have access to investments and financial advisory services. According to data from Banxico and AMIB, there are more than 400 billion pesos in resources held in sight or term deposits — nearly double the value of the mutual fund industry, to put it into perspective,” noted Arias.
Furthermore, according to AMIB, there are just over 9,000 certified individuals providing financial advisory services.
“We are convinced that our solution will contribute to the development of a new network of financial advisors who will operate under a conflict-free model, independent of a single institution or compensation scheme,” she concluded.
For Meritxell Sedo