Portugal Pathways has announced its 2025 Golden Visa Investment Fund Index, showcasing the latest opportunities for alternative investment funds in Portugal.
This year is shaping up to be a record-breaker, with significant interest from investors in North America, the UK, South Africa, Brazil, the Middle East, India, China, and Hong Kong.
According to Portugal Pathways’ research and data compiled from its Golden Visa fund index partners, the €7.3 billion raised by the end of 2024 is expected to surpass investment figures from the past three years.
The first quarter of 2025 has already seen incoming enquiries and investments tracking 43% higher than during the same period last year.
Understanding the Golden Visa Investment Fund Index
The Golden Visa Investment Fund Index provides investors and their advisors with a clear insight into the range of alternative investment funds available under Portugal’s residency-by-investment programme.
Covering over 30 approved funds, the index details investment theses, projected internal rates of return (IRR), upfront costs, management fees, downside protections, and risk profiles.
Portugal Pathways updates the index quarterly to keep investors informed of the latest developments.
Alongside the index, Portugal Pathways’ Golden Visa residency-by-investment guide serves as a vital tool for investors and their advisors. It simplifies the investment process and provides essential guidance for those seeking residency.
After five years of residency, investors can obtain Portuguese citizenship while maintaining dual nationality and enjoying full freedom of movement across the EU Schengen Area.
Paul Stannard, chairman and founder of Portugal Pathways and the Portugal Investment Owners Club, said:
“Our Golden Visa Investment Fund Index has proved already to be an invaluable tool for our investors and professional investment advisors in terms of understanding the landscape of Portugal’s ever-growing alternative investment sector.
“Portugal has demonstrated that it is outperforming the Eurozone and the UK in terms of GDP growth and has just had its international economic rating upgrade to A+ in February 2025, and according to Ernst & Young (EY), investor confidence in Portugal is at an all-time high.”
Golden Visa Investment in the Algarve
For investors considering Portugal’s Golden Visa, the Algarve offers a compelling opportunity. Known for its strong tourism and hospitality sectors, as well as renewable energy projects, the region provides multiple avenues for investment approved for the Portugal Golden Visa.
The Algarve clinched the prestigious ‘World’s Leading Beach Destination’ title at the 2024 World Travel Awards.
Portugal’s hotel market reflects this success, with revenue projected to grow from $1.07 billion in 2024 to $1.26 billion by 2029, according to Statista Market Insights. With a 3.32% annual growth rate (CAGR), this upward trajectory presents a lucrative opportunity for investors.
Chris Marson, CEO of RTi Family Office, highlights the Algarve’s unique appeal:
“The region’s thriving tourism industry, coupled with its strategic position in Portugal’s hospitality and sustainability sectors, makes it an attractive investment destination. Golden Visa-linked projects in the Algarve offer investors a chance to be part of a dynamic and high-growth sector.”
Exploring Portugal’s Golden Visa Benefits
Portugal’s Golden Visa programme allows non-EU citizens to secure residency through investment, with the potential to gain permanent Portuguese citizenship after five years.
Investors and their families can obtain a five-year residence permit by investing a minimum of €500,000 in approved Portuguese alternative investment funds.
Portugal’s Golden Visa programme includes eligibility for the main applicant, their spouse, dependent children in education, and parents over 65. Golden Visa holders benefit from the right to live, work, and study in Portugal, alongside visa-free travel across the 29 European Schengen countries.
One particularly attractive aspect is the minimal residency requirement—only seven days per year—which allows investors to maintain global mobility while fulfilling the programme’s conditions.
Additionally, Portugal’s new Tax Incentive for Scientific Research and Innovation (IFICI), known as the NHR 2.0 tax regime, presents significant advantages.
Under this scheme, qualifying investors benefit from a 0% tax rate on capital gains and dividends, making Portugal’s alternative investment funds one of the most tax-efficient vehicles for both foreign and domestic investors.
Niall Macdonald, Wealth Manager at Beacon Global Wealth Management, said:
“Our clients appreciate the flexibility of the Golden Visa in terms of freedom of movement as part of the investment portfolio, alongside other investment structures that are very friendly when managing cross-border income and assets.
“The seven days per year residency requirement and the choice of where to hold tax status make the offering even more tempting for investors.”
Mitigating Risk in Golden Visa Investments
Many of Portugal’s alternative investment funds employ a diversified approach, spreading investments across multiple sectors where the country is performing strongly. Investors can also split their €500,000 investment across two funds, enabling them to support multiple industries while reducing sector-specific risk.
Paul Sheedy, international advisor to the Portugal Future Fund, an alternative investment fund approved for Golden Visa residency-by-investment in Portugal, said:
“A blended approach to investment—spanning sectors such as luxury hospitality and tourism, renewable energy, media, healthcare, and technology —not only aligns with Portugal's dynamic economic landscape but also creates a resilient portfolio that thrives across sectors.
“We have seen that the multi-sector investment approach can give some further protection against underperforming sectors in a portfolio, giving investors more security and downside protection.”
Key Considerations for Golden Visa Investors
In Portugal, subscription fees for alternative investment funds typically hover around 2%, with annual management fees of around 2%, aligning with international market standards.
Approved funds often focus on agriculture, technology, luxury goods, private education, tourism and hospitality, media, healthcare, and renewable energy, leveraging Portugal’s global competitiveness.
Investment commitments in Portugal generally range from 5 to 8 years, slightly lower than the European average of 5 to 10 years.
Alternative investment funds in Portugal target internal rates of return (IRRs) of 10-20%, depending on the strategy and focus of the fund, which aligns with broader European and North American market expectations.
Investors must also examine downside protections and inquire about hurdle rates, ensuring that they receive 100% of the first upside each year before fund managers participate in future returns.
This structure incentivises fund managers to focus on growth and value creation before benefitting from carried interest, safeguarding investor interests.
About Portugal Pathways
Portugal Pathways has supported hundreds of Golden Visa residency-by-investment applications and provides expert guidance through its professional supply chain network on luxury property, wealth management, and tax optimisation, including post-NHR tax regime planning, as well as private healthcare, IFICI tax incentive applications, money transfers and bespoke relocation solutions to enhance life and investments in Portugal.
About Portugal Future Fund
The Portugal Future Fund strategically invests in key sectors, driving growth and innovation across Portugal. Approved for Portugal’s Golden Visa residency-by-investment, it offers a unique opportunity for impactful and rewarding participation.
About Portugal Investment Owners Club
The Portugal Investment Owners Club, or P Club for short, is a unique investor membership community designed for discerning individuals, families, and organisations committed to exploring and capitalising on life in Portugal and enjoying money-can't-buy experiences and exclusive events.
