F. Zablocki (Entrepreneur Invest): “Diversification of savings is important”

Decision makers. Can you go back to creating Entrepreneur Invest?

Frederick Zablocki. Entrepreneurs Invest used to be called Entrepreneurs Venture, but we changed the name in 2020 because the structure, created twenty-one years ago, started with venture capital, which is no longer the case today. We have always had one job, namely private capital, only today we make only the capital of development. In twenty years, we have supported more than 200 companies, raised 1.3 billion euros and have been working for ten years to democratize this asset class for as many people as possible by setting up funds. mutual funds at risk (FCPR).

In which sectors do you work?

We position up to 50% in the digital and digital economy sectors. We prefer education and SaaS (software subscription). Our portfolio companies may be able to use blockchain or cryptocurrency solutions in the future, but we do not currently have solutions that are fully dedicated to this sector. Over the next few years, we will focus on education and health, which are themes that make sense and tell great stories.

Do you offer tickets from 1000 euros, what is your strategy?

The SMEs in our portfolio are French, which we want to stay as close to as possible, culturally, geographically and legally. Our best known strategy is FCPR profitability. We have opened “Yield 6”, which includes convertible bonds that we place in SMEs. The big advantage is the insurance of the European Investment Fund (EIF) in case of loss of capital on bonds. This makes the product great in terms of return / risk. In addition, again thanks to this insurance, we can offer this investment solution to a wider audience that has never invested in it. private capital. In the future, we want to increase the number of customers and reduce the average subscription per customer.

What is the place of responsible finances in your management?

The ESG criteria are important to us, particularly in governance and social issues. Every time we take a stake in a company, we try to implement the good practices we have.

“ESG criteria are important to us, in particular on governance and social issues”

For example, corporate diversity or incentive plans, gender equality, etc. We have been supporting them according to these criteria for many years to ensure that they are as consistent as possible with our ethics. In addition, we exclude everything related to fossil fuels, including coal and oil, as well as the sectors around alcohol and defense.

How does the Russian-Ukrainian conflict affect your business?

We are investors in French SMEs, which are mainly engaged in services and digital technologies, so they are structurally little open to Ukrainian and Russian territories. According to our estimates, the economic situation may affect 8% of the companies in our portfolio, mainly due to rising prices for raw materials and energy.

Closing remarks?

Diversification of savings is important. Today we see that the total wealth of the French consists of several stocks and products, such as life insurance or EU funds. Non-listed companies still remain on the margin market, but at the same time give very good returns, giving value to savings, as SMEs are financed throughout the territory, and therefore employment in France. We have to start!

Interview with Marin Fleury