Achieving financial independence is a universal goal, but for many investors in Spain and Andorra, the current landscape presents specific challenges. According to a BlackRock study, participation in capital markets remains low in countries such as France and Spain, with only about 29% of adults investing.1 The primary reasons for low participation include the perceived lack of money and a lack of financial knowledge.
Another report claims that while 98% of adults have bank accounts, only 19% of Spaniards achieve high scores in financial literacy.2 This, combined with barriers to retail investing such as lack of availability to US markets due to regulatory restrictions and conversion fees, has deterred many investors from global markets.3 This gap may create a reliance on traditional savings accounts that often fail to keep pace with inflation.
Vesto aims to bridge this gap through its mission to democratize investing, making it simple, accessible, and inclusive. With the app, they aim to guide Spanish and Andorran investors towards financial independence by building a community-driven platform that helps empower the next generation of European investors with clear education and intuitive tools.
We recently spoke with Sabrina Guzman, the CEO of Vesto, to discuss their founding story, commitment to financial education, and how their partnership with Alpaca is fueling their expansion across Spain and Andorra.
Bridging the Gap in Regional Financial Literacy
Founded in 2021 in Barcelona, Spain, Vesto has developed a mobile-first finance app, expanding access to over 30,000 Spanish investors.4 Core pillars of their product include fractional investing, normalizing saving among millennials with their high-yield cash accounts, and financial education.
In regards to education, Guzman emphasizes that understanding the "why" behind an investment is as important as the investment itself.
"People need to understand what other investors are doing, including why they’re investing, where they’re investing, and the motivations behind those decisions," Guzman explains. “At Vesto, we’ve prioritized making it ridiculously easy to use and built a community of investors, experts, and investors who openly share their experiences and provide a framework for users to learn as they grow.”
This focus on education has a key impact on how they choose to build and deliver new products. “Our goal has always been to gradually introduce new products, step by step, to ensure they are implemented in the best possible way. We believe in growing thoughtfully, making sure each addition truly benefits our users,” Guzman added.
Engineering a Modern Investment Infrastructure with Alpaca
Looking for an infrastructure partner to help them scale, Vesto partnered with Alpaca to build a platform that supports these goals.
“Alpaca offers excellent service and a strong selection of financial products, which made them an ideal partner for us. The team has always been incredibly helpful and professional, making the collaboration seamless and productive,” Guzman added.
By utilizing Alpaca’s Broker API, Vesto has scaled its offerings to include:
- US Stocks: Enabling their users to invest directly in companies and sectors they know, making investing more accessible and easy to understand. Users can start investing at fractional amounts for as low as €55
- Fixed Income: Helping users diversify their portfolio to include assets that are low risk and regular interest payments
- High-Yield Cash: Empowering users to earn on their savings and invest in a currency different from the Euro
"The addition of fixed income products opens a significant opportunity for our investors to add a higher level of quality and stability to their diversified portfolios,” explained Guzman.
"We are proud to support Vesto and their team as they empower their community with traditional investment tools built on modern infrastructure," said Yoshi Yokokawa, Co-Founder and CEO of Alpaca. “With their focus on education and their intentional approach to product design, we are working collaboratively to increase financial access and market participation among Spanish and Andorran investors.”
What’s Next for Vesto
Vesto looks to continue expanding its reach. The next phase of growth involves moving beyond US-denominated assets to include local European markets. This expansion includes stocks from Germany, France, Italy, and the Netherlands, allowing users to diversify their currency exposure and invest in familiar local sectors. Furthering the partnership, Vesto plans to continue integrating new Alpaca product features as they become available.
For now, Guzman says Vesto is also focused on helping its 30,000 users grow their existing assets under management (AUM).
Contact Alpaca
About Alpaca
Alpaca is a US-headquartered, self-clearing broker-dealer and a global leader in brokerage infrastructure APIs providing access to stocks, ETFs, options, fixed income, and crypto. Alpaca delivers embeddable finance solutions for tokenization, fully paid securities lending, high-yield cash, 24/5 trading, Shariah-compliant investing and more. Today, Alpaca powers over 9 million brokerage accounts across hundreds of fintechs and institutions in 40+ countries with over $320M in funding.
References
- ESMA's call for evidence on the retail investor journey
- Spain | Financial health: the outstanding challenge | BBVA Research
- Can you invest in us stocks from Europe
- Vesto
- "Vesto es la app de inversión para no inversores" | AE para UEStudio
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