Letter to Shareholders
Dear Shareholders,
With the commencement of trading of our shares on Xetra, the electronic trading platform of Deutsche Börse, FINEXITY has reached a significant milestone in its corporate development. This step follows our successful listing in the m:access segment of the Munich Stock Exchange on September 5, 2025, and represents the next logical component of our long-term capital markets strategy.
In this first shareholder letter since our listing, I would like to provide context to this development and offer you a structured overview of the key operational and strategic progress achieved over the past five months, from September 2025through January 2026.
Strategic Significance of the Xetra Listing
The inclusion of FINEXITY shares in Xetra materially enhances the visibility and investability of our stock. As the central trading venue for the German equity market and an internationally recognized reference system for transparency, liquidity, and comparability, Xetra provides direct access to both national and international investors.
This step is not an isolated event but part of a clearly defined capital markets roadmap. Additional trading venues and structural initiatives are currently in preparation.
A key component in strengthening market liquidity is our cooperation with MWB Fairtrade Wertpapierhandelsbank AG as Designated Sponsor. Through the continuous provision of bid and ask quotes, MWB contributes to reliable price formation and creates a prerequisite for broader institutional investor engagement.
Operational Momentum and Strategic Initiatives
Alongside these capital markets developments, FINEXITY’s participations and operating entities have shown strong operational momentum. Over recent months, we have implemented high-intensity strategic initiatives aimed at achieving controlled yet ambitious growth along clearly defined value drivers.
Our strategic focus includes:
- The continuous expansion of our OTC trading venue for tokenized securities
- The systematic enhancement of our capital markets capabilities
FINEXITY is increasingly positioning itself as a specialist in tokenized bond structures: covering structuring, syndication, and direct placement, as well as technical listing, trading, and secondary market settlement.
Over the years, our in-house capital markets team has supported more than 250 bond issuances and acted as Lead Manager on the majority of these transactions. This track record forms the operational foundation for the scalable expansion of our business model.
Market Development: Private Markets & Tokenized Securities
Structural tailwinds for alternative capital market models remain strong.
Traditional private markets - capital flows outside regulated public exchanges - have experienced significant historical growth and increasingly complement or replace traditional corporate bank financing. Estimates suggest that global private debt assets currently range between approximately USD 1.5–2.0 trillion, with further expansion expected in the coming years.
In parallel, the market for tokenized securities is entering a phase of dynamic growth.Market studies project that this segment, currently measured in the multi-billion USD range, could expand significantly by 2030 to as much as USD 2trillion (base case). This development is corroborated by the latest DekaDigital Asset Monitor, which indicates record issuance levels in the German market for tokenized securities.
These trends underline a clear structural shift: not only are private markets expanding, but the tokenization of securities as a new form of capital market access is gaining sustainable relevance; for issuers and investors alike.
Macroeconomic Environment and Market Infrastructure
The pressure on alternative financing channels continues to increase. According to the latest SAFE survey results from the European Central Bank, access to bank financing for euro area corporates has deteriorated further, while borrowing costs and ancillary expenses have risen significantly.
At the same time, market infrastructure is evolving. In the United Kingdom, corporate bond scan now be traded at a nominal value of as little as one pound, compared to several thousand pounds previously, signaling lower entry barriers, digitized subscription processes, and closer integration of primary market issuance and market infrastructure.
International exchange operators and infrastructure providers are increasingly focusing on tokenization initiatives. The accelerating institutionalization of this segment confirms that tokenized debt instruments are no longer a niche topic but represent the next evolutionary stage of global capital markets.
Our Integrated Market Approach
FINEXITY addresses this structural gap through an integrated infrastructure platform for issuance, listing, and distribution of tokenized securities.
Our service offering spans:
- Transaction origination and structuring
- Tokenization and digital subscription processes
- Broad placement via banks, wealth managers, and institutional investors
- Direct retail investor access
In parallel, we are advancing the development of our proprietary DLT-based trading and settlement infrastructure (DLT-TSS) to ensure regulatory-compliant integration of primary and secondary markets.
Against this backdrop, FINEXITY operates through two core business segments:
Exchange(Infrastructure)
The Exchange segment forms the technological backbone of our business model. FINEXITY develops and operates infrastructure for a new capital market in which tokenized securities can be efficiently issued, traded, and settled.
Capital Markets
The Capital Markets segment complements this infrastructure by supporting issuers in the structuring, syndication, and placement of tokenized securities, thereby actively shaping market development.
Review: Exchange Segment
Infrastructure, Ecosystem & Licensing
In recent months, we have achieved significant progress in our Exchange segment.
Together with our long-standing partner Sachwert Invest, a wholly owned subsidiary of Sparkasse Bremen, tokenized securities were integrated for the first time directly into the online banking portals of German savings banks. Tokenized bonds are now visible alongside traditional securities within established retail banking environments.
The technological foundation is FINEXITY’s proprietary infrastructure, seamlessly connected via Finanz Informatik to the IT ecosystem of Germany’s largest financial group. The infrastructure is scalable for additional savings banks with minimal implementation effort and enables rollout across approximately 360 institutions with more than 45 million clients.
Furthermore, the MiFID II-compliant brokerage solution for primary and secondary markets, developed by FINEXITY for Sachwert Invest, was sold to the latter. The transaction generates mid-six-figure euro proceeds for FINEXITY, consisting of an upfront purchase component and recurring remuneration for ongoing operation and development.
While FINEXITY remains the long-term infrastructure and development partner, the trading venue infrastructure and OTC marketplace remain fully owned by FINEXITY and form the foundation for further scaling and the planned application for a DLT-TSS license.
Review: Capital Markets Segment
Origination, Advisory & Structuring
A flagship example of our activities is the long-term financing partnership with WEISSENHAUS Private Nature Luxury Resort. FINEXITY acts as Lead Manager and is responsible for structuring, syndication, and placement of tokenized, mortgage-backed bonds.
The initial €1.5 million issuance supports capacity expansion and modernization. Strong institutional pre-demand has already been observed. A follow-up issuance of up to €20 million is planned, targeting institutional and semi-professional investors. FINEXITY expects revenues from this partnership in the low seven-figure euro range.
Another growth driver is the internationalization of our capital markets activities. Through a German-regulated securities structure, we have enabled German investors to access the Dubai real estate market for the first time. Additional issuances in the double-digit million euro range are planned for 2026. In parallel, we are establishing fund structures for institutional investors, with market entry targeted for Q1 2026.
Syndication & Placement Strength Through Partnerships
Additional retail distribution capacity is secured through our strategic partnership with EGRO Mediengruppe. With approximately 70 weekly newspapers, a weekly circulation exceeding three million copies, and a reach of up to ten million readers, EGRO provides one of the strongest media platforms in the German market.
The media value of this partnership amounts to approximately €20 million per year for FINEXITY. This reach creates significant leverage for structured primary market placements and sustainably expands our proprietary investor base for tokenized securities.
Team Expansion& Market Engagement
To further strengthen our bond primary market business, we have appointed Roman Exenberger as Head of Debt Capital Markets. With more than 20 years of capital markets experience, he is responsible for expanding origination, syndication, and placement activities across the DACH region.
On a personal note, I am honored to have been elected to the Exchange Council of the Munich Stock Exchange. I view this role as an important bridge between FINEXITY and the German capital market ecosystem.
Outlook
The progress achieved in recent months forms a solid foundation for the next stage of FINEXITY’s development. Our objective is to establish FINEXITY as a transparent, growth-oriented, and reliable capital markets participant - built on operational substance, technological excellence, and strategic clarity.
I thank you for your trust since our listing and look forward to continuing this journey together.
Yours sincerely,
Paul Huelsmann
CEO FINEXITY Group
Previous Shareholder Letters:
- Letter to Shareholders 00