Can I invest in mutual funds or open funds for the Portugal Golden Visa?

Yes. Open-ended mutual funds, also known as open funds, can qualify for the Portugal Golden Visa if they are registered and approved by the CMVM and meet the investment eligibility criteria. These funds offer daily liquidity, professional management, and transparent valuation, but are subject to market volatility.

How do Golden Visa investment open mutual funds perform compared to other markets?

Based on a quantitative backtest of 500 five-year investment simulations (2015–2025), the Portuguese PSI Index delivered a median annualized return of 5.5%. This compares with 8.5% for France’s CAC40 and 14.3% for the U.S. S&P500. While returns in Portugal are moderate, risk-adjusted performance remains in line with European peers.

What risks should I expect when investing in Portugal’s stock market funds?

Investors should be prepared for potential drawdowns of 30% or more during a 5-year holding period. Portugal’s market is small and concentrated, so downturns can significantly affect fund performance even if the long-term results are positive.

Are open-ended mutual funds funds eligible for Portugal Golden Visa diversified?

The Portuguese market has limited diversification opportunities, as the PSI Index is dominated by a few companies in the energy and utilities sectors. Most mutual funds therefore hold similar positions, though managers may vary allocations. Broader diversification can be achieved through funds with exposure to other European or global markets.

What are the typical fees for Golden Visa mutual funds?

Many Golden Visa–eligible mutual funds charge around 2% annually in management fees and may include a subscription fee or performance fee. For comparison, actively managed equity funds in Europe average 1.2% per year, and U.S. mutual funds 0.7–0.8%. Fees have a major impact on net returns — a 5.5% gross annualized return would drop to about 3.5% after a 2% management fee.

What should I look for when choosing a Golden Visa investment fund?

Ask about the fund’s asset allocation, diversification strategy, risk management process, and manager track record. Determine whether they follow index-weighted, equal-weighted, or risk-based allocation models, and if quantitative or systematic methods are used to manage volatility and drawdown risk.

Are Golden Visa mutual funds safer than private equity funds?

Public equity mutual funds are generally more liquid and transparent than private equity funds, but both carry risk. Private equity funds tend to have higher potential returns but are less liquid and often charge higher fees. Choosing between them depends on your risk tolerance and investment horizon.

Where can I find data on performance and approved Golden Visa funds?

GoldenVisaFunds.pt maintains a curated database of Portugal Golden Visa–eligible investment funds, including performance history, volatility analysis, manager experience, and fee structures. The platform helps investors compare options based on quantitative insights and regulatory approval status.

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Investing in Portugal’s Stock Market: A Quantitative Analysis of Open Mutual Funds Eligible for the Golden Visa

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Cristóvão Matos

Managing Director

Nomera Capital

Published: Nov 3, 2025Updated: Nov 3, 2025