Taron Oganesyan: Our strategy extends beyond operating within Armenia

In February, Team Holding announced the launch of the second tranche of its U.S. dollar-denominated registered coupon bonds.

As with the first tranche, the offering was carried out in partnership with the investment firm Freedom Broker Armenia.

In an interview with Banks.am, Taron Oganesyan, Director of Private Wealth Management at Freedom Broker Armenia, spoke about the new bond issuance, shared his perspective on current investment opportunities in Armenia, and highlighted the critical role of transparency and trust in the development of the financial market.

- Team Holding recently announced the launch of the second tranche of its USD-denominated bond offering, with the first tranche having closed ahead of schedule. How would you assess this outcome? Does it primarily reflect investor confidence in the company, or growing interest in bonds within Armenia?

- For Freedom Broker Armenia, this marked our first experience in underwriting, and we approached the selection of our partner with great care. Our decision to collaborate with Team Holding was driven by the trust and interest the company has earned in Armenia.

I often emphasize that Armenia represents a highly attractive investment market, as the country has its own stock exchange. The development of this market is essential, and as a company, we have assumed – and continue to assume – responsibility for contributing to its growth.

We place particular importance on transparency in our investment processes. For instance, in the case of Team Holding, specific covenants were introduced to protect investors against a potential increase in the company’s debt burden. Such mechanisms are more commonly used in international practice – and this is precisely the standard we aim to bring to the Armenian market.

Our strategy extends beyond operating within Armenia; we are equally focused on expanding our reach. We take all necessary measures to safeguard the interests of both our clients and investors. In financial markets, trust is difficult to build and easy to lose. That is why maintaining transparency and protecting the interests of all parties remain fundamental principles of our work.

- What are the key benefits for investors who choose Team Holding bonds? What type of investor is this investment primarily designed for?

- The second tranche of Team Holding’s bonds is broadly accessible to all clients. In other words, it is not limited to a specific target group, with the minimum investment set at just $100 – the face value of a single bond.

In the first tranche, the coupon rate was 9% per annum, while the second tranche offers a yield of 8.75%. We are observing strong demand from investors, as there are relatively few companies in the market that combine this level of reliability with such a yield.

The new funding round is closing at a steady pace, which is a very positive outcome – particularly given that the offering is not focused on large institutional investors, but rather on making investment opportunities accessible to a broad audience. 

Expanding participation is a key priority for us, especially among individuals with little or no prior investment experience. This represents a strong entry point, particularly as the product combines a conservative investment profile with reliable returns in U.S. dollars. 

In terms of participation, 281 investors took part in Team Holding’s first tranche, fully subscribing to the issuance, which totaled approximately $9 million (around 1.4 billion AMD). The investor base was notably diverse, ranging from individuals who purchased a single $100 bond to those who invested several million dollars. 

- Based on your observations, how is the investment culture evolving in Armenia? Is the mindset shifting away from keeping money “under the mattress” or in a bank?

- Global economic developments consistently demonstrate that an investor’s most reliable principle is diversification – the allocation of capital across different asset classes. From a personal standpoint, I would never concentrate all my capital in a single financial instrument.

When selecting Team Holding as a partner, one of the key considerations for us was that it is not just a standalone company, but a diversified group of businesses. Across economic cycles, individual sectors may face temporary downturns, but others can perform more strongly, helping to balance overall performance and support the group as a whole.

For investors who are just beginning their journey, finding a similar opportunity is typically quite challenging. In this case, however, by investing in a single instrument, they effectively gain exposure to multiple sectors simultaneously. Today, Team Holding unites more than 10 companies operating across over 7 economic sectors and providing services in 4 countries. This makes the investment both well-balanced and particularly attractive.

- Traditionally, the bond market has been dominated by financial institutions. What changes with the entry of non-financial companies, such as Team Holding, and what impact does this have on the development of the corporate debt market in Armenia?

- The stock market and the securities market are among the key drivers of the economy. Why? The reason is that they provide companies with several ways to raise funds for growth. A business can obtain a bank loan, go public by offering shares, or raise funds through bond issuance.

All of these mechanisms serve one purpose: enabling business growth. Companies use the capital to expand, create new jobs, which, in turn, leads to higher incomes.

Bonds represent a particularly interesting investment instrument. Unlike bank loans, which require regular monthly repayments and may involve restrictive terms, bonds offer more flexible repayment schedule. For example, in the case of Team Holding, interest payments are made on a quarterly basis, while the principal is repaid at maturity – in this case, after four years. This structure allows companies to allocate resources more efficiently and pursue steady, long-term growth. 

In developed markets, such as those in Europe and the United States, these instruments have long played a central role in stimulating economic development. For Armenia, however, it is particularly important to develop its own financial products and support local businesses.

I am confident that bond issuances carried out in partnership with reliable companies will not only provide investors with a secure investment option, but also facilitate capital formation for businesses. Indirectly, this contributes to the sustainable development of Armenia’s economy.

- What role does Freedom Broker Armenia play in the placement of such instruments? Can we say that such projects are fostering a new investment culture and increasing market transparency?

- As a broker operating both on the Armenian Stock Exchange and in international markets, we provide clients with access to a wide range of investment opportunities. This includes not only securities issued by Team Holding, but also instruments offered by our global partners. 

Our core objective is to identify each client’s investment goals and risk profile, and to select suitable instruments based on their time horizon, return expectations, and risk tolerance. Every investor faces certain risks; what matters is that these risks are properly assessed, clearly communicated, and managed as effectively as possible.

We work closely with clients to align their goals with realistic return scenarios, helping them avoid unpleasant outcomes. Our team consists of over 200 professionals, including specialized units such as the institutional business department, which focuses on underwriting and works with companies seeking to access capital markets. 

In this sense, we operate at the “intersection.” We engage both with investors looking to allocate capital and with companies seeking financing. This positioning gives us a comprehensive view of the market, allowing us to better understand investor demand, issuer needs, and overall market dynamics. 

- We’ve discussed the expansion of investment opportunities, but to what extent does the current level of financial literacy in Armenia align with the current situation? What steps are needed to encourage more people to invest wisely?

- To be honest, when looking at the overall picture people need training and support to manage their finances properly.

This is reflected in financial behavior, including spending habits, levels of indebtedness, and overall money management practices. In other countries, such as the United States, it is common practice for individuals to regularly direct a portion of their income toward investments, often through diversified instruments like index funds. Over time, such investments can ensure a comfortable financial situation by the time they reach retirement age.

We strive to foster this understanding among people and promote financial literacy. Many questions revolve around which currency to save and how best to structure personal savings. To address this, we have developed the Freedom Academy platform, which offers a wide range of educational resources, from free introductory content on YouTube to more structured courses. Anyone can gain valuable information and practical skills.

In addition, we help clients make financial decisions by providing them with support and guidance tailored to their goals and strategy. From the outset, it is essential to establish clear coordinates so as to avoid veering off course later.

- Today, technology permeates every aspect of business, which, while offering many benefits, also carries significant risks. How has the digital revolution impacted the investment sector, and how can these risks be managed?

- I believe there’s no point in resisting progress – we need to embrace it. From an investment perspective, we profit from these trends. Many public companies benefit directly from digitalization, whether in manufacturing chips, microchips, or other products. This allows investors to participate and make profit. While digitalization does introduce certain risks, the advantages it offers are invaluable.

Today, clients can access their accounts and buy or sell securities directly from their phones. To ensure security, we implement two-factor authentication and place a strong emphasis on cybersecurity across all our systems. 

Freedom Finance Armenia is part of the Freedom Holding, which is audited by Deloitte, and we are also subject to audits by the U.S. Securities and Exchange Commission (SEC), one of the strictest securities regulators in the world. These audits examine not only our financial operations but also our overall risk management practices. In some respects, our security standards even surpass those of banks. Under international brokerage regulations, clients cannot withdraw funds to anyone else’s account – for example, I cannot withdraw funds to my spouse’s account. These rules are governed by international legislation on cash withdrawals.

- The Second Investment and Financial Forum of Armenia was scheduled for March 2026 in Yerevan, but was canceled due to the escalating situation in the Middle East. When is it expected to take place, and which international participants are anticipated?

- Yes, the forum has indeed been rescheduled, and we are currently finalizing the new dates, with September 2026 as the target.

This was a carefully considered decision. We are closely monitoring the situation in the region, and under the current circumstances, our top priority is the safety of participants and speakers, while maintaining the international standard and quality we initially envisioned for the event. 

All previously announced speakers remain committed to joining us, and we are actively coordinating with them to finalize the next steps. We will announce the official date shortly. I am confident that, when it takes place, the forum will be even more substantive and impactful, both in terms of its agenda and the lineup of participants.

Yana Shakhramanyan

Photo: Emin Aristakesyan