Crowdinvesting in Italy lags behind
According to the PoliMi Observatory, flows and platforms have decreased over the past year, with only the small minibond segment and real estate holding up
4' min read
4' min read
Crowdinvesting in Italy collapsed, especially for the equity segment (-25.5%), minibonds were saved (+34.5%), which are however a small part, while the real estate segment held up (+7.2%). In fact, after last year's slight drop (-1%), there was a new market contraction: EUR 302.35 million raised in one year, -5.3% compared to the previous 12 months.
The cumulative value since crowdinvesting has existed in Italy is now 1.3 billion (excluding platforms that collect mainly not from the Internet and those that lend to individuals). The number of platforms is shrinking sharply (from 66 to 33), in many cases due to the new European authorisation process that few have completed, even though Italy ranks second in Europe after France (56).
Crowdinvesting Observatory of the School of Management of PoliMI
These are some of the findings of the ninth report on Crowdinvesting, produced by the Observatory of the School of Management of the Politecnico di Milano, which took a snapshot of the sector in the last year to 30 June 2024. "There are two reasons for the drop in funding," explains Giancarlo Giudici, director of the Crowdinvesting Observatory. The first is the authorisation process under the new ECSP Regulation, which all platforms had to go through and which was resolved quickly by the November 2023 deadline for only a few. The second is the new market equilibrium on interest rates, which produced the most evident effects in 2023, leading investors to demand higher returns not always accepted by entrepreneurs'.
However, according to the expert, there are conditions for a revival of crowdinvesting in Italy by taking advantage of the new authorisation context that sees equity and lending platforms on the same level, with a standard of requirements and stricter controls that will benefit the market'.
The sketch
.Crowdfunding allows individuals and institutional and professional investors to directly join, through an enabling Internet platform, an appeal to raise resources for an entrepreneurial project, either by granting a loan (lending-based model) or by underwriting shares in the company's venture capital (equity-based model). Crowdinvesting is an attractive opportunity both for entrepreneurs wishing to finance their activities and for investors looking for returns and portfolio diversification opportunities.
