XP Inc. (XP): Business Model Canvas [Dec-2025 Updated]

Look, you want to know how XP Inc. (XP) actually makes its money now that it's more than just a stock platform, and honestly, their Business Model Canvas shows a masterclass in scaling a financial ecosystem, managing over R$1.425 trillion in client assets as of Q3 2025. This engine runs on their proprietary Open Product Architecture and a massive network of 18,200 Total Advisors, allowing them to democratize finance by offering access to over 800 investment products. We'll map out how they blend brokerage fees, interest income from a R$24 billion credit book, and corporate services into their revenue streams, so stick around to see the precise mechanics behind their growth.

XP Inc. (XP) - Canvas Business Model: Key Partnerships

You're looking at how XP Inc. builds its ecosystem through strategic alliances, which is crucial because their platform thrives on open access, not just proprietary products. This network is what allows them to compete against the big Brazilian banks, honestly.

The foundation of XP Inc.'s Open Product Architecture (O.P.A.) relies heavily on its relationships with external providers. This strategy means you, as an advisor or client, aren't limited to what XP creates internally; you get a much broader shelf of investment choices. This is a core differentiator against more closed banking models.

The breadth of this offering is significant. As of the third quarter of 2025 (3Q25), XP Inc.'s platform provided access to over 800 investment products. These come from XP, its partners, and even competitors, covering everything from equity and fixed income to mutual funds, structured products, and insurance offerings.

For the fixed income and structured products segment, the partnership with issuers is vital for product depth. While specific issuer names aren't always detailed in the top-line metrics, the results show the strength of this channel. For instance, in 1Q25, fixed income became the largest revenue contributor within the retail segment for the first time, with revenues growing 44% year-over-year to reach R$1.02 billion. Furthermore, XP Inc. reported holding a 10% market share in debt capital markets distribution as of 3Q25. The Issuer Services segment itself posted revenues of R$323 million in 3Q25, showing stable year-over-year performance.

Regarding global reach and custody for international accounts, while specific partnership details with firms like Pershing LLC or Interactive Brokers aren't quantified in the latest public releases, the platform's functionality points to their necessity. The Q2 2025 results noted that fixed income and other retail verticals, which include global accounts, were main drivers for retail growth year-over-year.

The technology backbone is supported by strategic fintech partners, though these relationships are often embedded within the platform development costs rather than listed as direct revenue-sharing partners. What we can measure is the resulting market position: XP Inc. maintained its leadership in the local broker-dealer industry with a 17% market share in 3Q25.

The Independent Financial Advisors (IFAs) network is arguably the most critical partnership, as it represents the core distribution model. XP Inc. focuses heavily on expanding this channel. As of 2Q25, the Total Advisors figure-which includes IFAs, RIAs, and XP employees-stood at 18.2 thousand. This figure remained stable at 18,200+ Total Advisors as of 3Q25. XP Inc. has also been strategically acquiring minority stakes in IFA firms, such as Monte Bravo, Blue3, and Ável, to solidify this network. A remaining payment related to 2024 IFA acquisitions was scheduled for the last quarter of 2025, amounting to R$35,520 (in thousands, based on the context of the filing).

Here's a quick look at the scale of the key partnership metrics we can quantify as of late 2025:

The success of this model is reflected in the platform's overall scale. Total Client Assets across the entire ecosystem, which includes assets managed through these partners, reached R$1.425 trillion in 3Q25.

Also, you should note the ongoing commitment to the IFA channel, evidenced by the planned capital outlay for acquisitions continuing into the latter half of 2025.

Finance: draft the Q4 2025 partnership impact report by January 15, 2026.

XP Inc. (XP) - Canvas Business Model: Key Activities

You're looking at the core engine of XP Inc., the daily work that keeps that massive tech-enabled platform running and growing. Honestly, it's a lot of moving parts, but the numbers show where the focus is right now, late 2025.

Operating and maintaining the high-scale, tech-enabled investment platform

This is the foundation. You need the platform stable and fast to handle the sheer volume of assets and users. The scale is significant, but you see the growth is still happening year-over-year, even if quarterly flows can be lumpy.

• Total Client Assets reached R$1.4 trillion as of 3Q25.
• Total Client Assets were up 12% year-over-year (YoY) in 3Q25.
• Active Clients totaled 4.720 million in 2Q25.
• Total Advisors connected to XP stood at 18.2 thousand in 2Q25.
• The company executed share repurchases totaling R$842 million until October 2025.

Financial advisory and wealth management services for all segments

This is where the core advisory relationship lives, primarily through the vast network of advisors. The revenue from this segment, Retail Revenue, shows the direct monetization of that advisory relationship. Fixed income is definitely taking a bigger piece of the pie lately.

Here's a look at the revenue generation across the main client-facing segments for the third quarter of 2025, which gives you a clear picture of where the money is coming from:

The Annualized Retail Take Rate, a measure of how much revenue is generated per asset, was 1.24% in 3Q25. That's 1 basis point lower quarter-over-quarter (QoQ) and 9 basis points lower year-over-year (YoY).

Developing new financial products (e.g., credit, insurance, global accounts)

XP is pushing hard on cross-selling beyond pure brokerage. Credit and insurance are showing strong growth rates, which is exactly what management has been talking about to diversify revenue streams. If onboarding takes 14+ days, churn risk rises, so the tech platform has to support rapid product integration.

• The Expanded Loan Portfolio reached R$67 billion as of 3Q25, posting a 33% growth YoY.
• Assets from XPV&P, the proprietary insurer, grew 32% YoY, reaching R$84 billion in 3Q25.
• Total TPV (Total Processed Volume) was R$13.1 billion in 3Q25, an 8% growth YoY.
• Total Active Cards were 1.5 million in 3Q25, up 11% YoY.

Capital markets and investment banking activities for corporate clients

This activity is captured in the Corporate & Issuer Services segment revenue. The improvement in DCM activity (Debt Capital Markets) clearly helped drive the strong YoY growth in this area for the quarter.

• Corporate & Issuer Services revenue totaled R$729 million in 3Q25.
• This represented a 33% increase QoQ and a 32% increase YoY.
• The Corporate division revenue specifically grew 77% YoY, reaching R$406 million in 3Q25.

Mass financial education through the XP Institute

This activity builds the client base and ecosystem. While specific financial metrics for the Institute itself aren't detailed in the latest earnings release, the overall client growth supports the long-term goal of mass education.

• The company's NPS (Net Promoter Score) was 72 in 2Q25.
• The XP Institute's function is to reinforce the ecosystem, supporting the client base that drives the platform's scale.

Finance: draft 13-week cash view by Friday.

XP Inc. (XP) - Canvas Business Model: Key Resources

You're looking at the core assets that power XP Inc.'s entire operation right now, late in 2025. These aren't just line items; they are the engines driving the platform's market position.

The foundation is the Proprietary Open Product Architecture (O.P.A.) technology platform. This digital backbone allows XP Inc. to offer an open financial product platform, giving clients access to a vast array of investment products from XP, its partners, and competitors. While specific 2025 investment figures are still being finalized, the commitment to this asset is clear, evidenced by a reported investment of R$ 231.3 million in technology and digital infrastructure in 2023, which supports continuous platform enhancement.

Human capital is massive here, represented by the extensive network of advisors. As of the third quarter of 2025 (3Q25), XP Inc. maintained a network of over 18,200 Total Advisors. This network includes Independent Financial Advisers (IFAs), Registered Investment Advisers (RIAs), and internal advisory employees.

The scale of client trust is quantified by the assets managed on the platform. XP Inc. commanded a significant client assets base of R$1.425 trillion as of 3Q25. When combined with Assets Under Management (AuM) and Assets Under Administration (AuA), the total ecosystem value reached R$1.9 trillion in 3Q25.

Brand recognition and trust are critical, especially in the Brazilian financial market. This is reflected in the Net Promoter Score (NPS), which stood at 74 in 3Q25, showing high client satisfaction. Furthermore, the company's proprietary insurer, XPV&P, held a 5.0% market share in individual PGBL and VGBL products as of 3Q25.

Financial stability and regulatory compliance are non-negotiable resources. XP Inc. operates with necessary regulatory licenses, including those for Banco XP, which is subject to scrutiny by Brazilian authorities like the Central Bank (BACEN). The capital position remains robust, providing a strong buffer. The Basel Index Ratio (BIS Ratio) was reported at 20.1% in 2Q25, and it strengthened further to 21.2% by 3Q25. The Common Equity Tier 1 (CET1) ratio was a comfortable 18.5% in 2Q25.

Here's a quick look at the key quantitative resources as of the latest reported periods:

These resources enable the delivery of value propositions across several segments, which you can see mapped out in the following operational highlights:

• Access to over 800 investment products.
• Loan portfolio reached R$67 billion in 3Q25, up 33% year-over-year.
• Active Clients totaled 4.8 million in 3Q25.
• Retail Net Inflow was R$20 billion in 3Q25.
• Corporate & Issuer Services revenue grew 32% year-over-year in 3Q25.

XP Inc. (XP) - Canvas Business Model: Value Propositions

You're looking at the core reasons clients choose XP Inc. (XP) over the established players, and honestly, it boils down to access and choice, all while chipping away at those old, high-fee structures. The value proposition is built on making sophisticated finance accessible.

Democratization of finance by breaking down high-fee structures

XP Inc. is pushing hard on making high-quality service compensation transparent. The shift to a fee-based model is a tangible example of this. As of the third quarter of 2025, the adoption of this model in the retail segment reached 21% of client assets. This move reinforces investor freedom to choose how they want to be served, which CEO Thiago Maffra noted is already generating tangible impacts on net inflows. The firm's strategy is to be inflexible regarding the service model, letting the client pick the compensation format that best suits their profile. It's about aligning incentives, not just cutting fees across the board.

Access to over 800 investment products from XP and competitors

You get an open platform here. XP Inc. provides access to over 800 investment products from XP, its partners, and competitors. This breadth covers everything from equity and fixed income securities to mutual funds, hedge funds, structured products, and real estate investment funds. This is a key differentiator from legacy banks that often push proprietary products.

Full-service financial ecosystem (investments, credit, insurance, digital account)

The ecosystem approach is where XP Inc. is really diversifying its revenue streams away from pure transaction fees. By Q3 2025, the company served 4.8 million active clients, with total Assets under Management and Administration (AuM and AuA) hitting R$1.9 trillion (approximately USD 358.6 billion). The growth in these non-investment verticals shows the ecosystem is gaining traction:

• Insurance premiums grew +25% year-over-year in Q3 2025.
• Pension plans saw a +24% year-over-year increase in Q3 2025.
• The Total Credit Portfolio stood at R$24 billion as of Q2 2025, marking a 24% year-over-year growth.

This cross-selling is designed to make the platform sticky. For instance, life insurance written premiums surged 45% year-over-year in Q2 2025.

High-quality, personalized financial advice across all client tiers

The advice component is evolving with the distribution channels. More than half of the net new money is now coming from internal advisers and the Registered Investment Adviser (RIA) model, a shift from the exclusive reliance on the B2B Independent Financial Adviser (IFA) channel seen in 2021. This suggests a move toward more integrated, perhaps more personalized, advisory relationships. The firm has a network of 18.2 thousand Total Advisors as of Q2 2025.

Here's a quick look at the scale and growth of the ecosystem components as of mid-to-late 2025:

Financial education and content to empower new classes of investors

XP Inc.'s mission explicitly includes educating new classes of investors. The company develops and sells financial education courses and events both online and in person to retail clients. This content delivery is a core part of the strategy to bring more people into the investment ecosystem, supporting the overall goal of democratization.

XP Inc. (XP) - Canvas Business Model: Customer Relationships

You're looking at how XP Inc. manages its relationship with its diverse client base, which spans from high-net-worth individuals needing hand-holding to self-directed investors wanting low-cost execution. It's a dual approach, balancing high-touch human advice with scalable digital tools. This strategy is key to capturing market share in Brazil's evolving financial landscape.

The dedicated, high-touch advisory service relies heavily on the Independent Financial Advisor (IFA) network, though the mix is shifting. As of the first quarter of 2025 (1Q25), XP Inc. had 18.1 thousand Total Advisors connected to its platform, which was a 2% year-over-year increase. However, the growth engine is diversifying; by 2025, more than half of the net new money was coming from internal advisers and the Registered Investment Adviser (RIA) model, moving away from the exclusive reliance on the IFA channel seen in 2021. This shows a strategic evolution in the high-touch segment.

For digital self-service and low-cost execution, the Rico and Clear brands are the primary channels. These customers interact first with automated technology tools, like self-help guides and chatbots, before escalating to specialized help desks via online chats or dedicated applications. While specific Assets Under Management (AUM) for these brands aren't explicitly broken out in the latest reports, the overall platform supports 4.7 million Active Clients as of 1Q25, a 2% year-over-year rise. Retail Daily Average Trades (DATs) for the platform were 2.2 million in 1Q25.

Proactive client service is measured directly, and maintaining a high score is central to the business model. XP Inc.'s Net Promoter Score (NPS) was reported at 73 in 1Q25. The company maintains a specific team dedicated to coordinating client experience improvement projects across every touchpoint, and personnel evaluations are linked to quality indicators like NPS.

Financial planning at scale is an area where XP Inc. is pushing to deepen engagement. While specific adoption rates for financial planning tools aren't detailed in the latest releases, the overall strategy involves expanding solutions and leveraging financial education to create new classes of investors. This complements the high-touch advisory services by providing structured guidance across the platform.

The commitment to shareholders through capital distribution is a strong signal of confidence in the customer base's stability and future earnings. XP Inc. reaffirmed its commitment to distributing over 50% of net income through dividends and repurchases for both 2025 and 2026. This was actioned in late 2025:

These capital actions reinforce the shareholder return policy. For instance, the company completed a new buyback program totaling approximately R$1 billion, funded by existing cash reserves. The company's focus on capital discipline is also evident in its regulatory buffers; the BIS Ratio was 20.1% in 2Q25, well above peer averages.

Here are some key operational metrics supporting these relationships as of early to mid-2025:

• Total Client Assets (3Q25): R$1,425 billion
• Total Client Assets (1Q25): R$1.3 trillion
• Retail Net New Money Target (per quarter 2025): Average of BRL20 billion
• Net Promoter Score (1Q25): 73
• Total Advisors (1Q25): 18.1 thousand

The relationship strategy is clearly about scale through the IFA/RIA network and maintaining high service quality, which is then supported by strong capital returns. Finance: draft 13-week cash view by Friday.

XP Inc. (XP) - Canvas Business Model: Channels

You're looking at how XP Inc. gets its value proposition-the open platform and advisory services-into the hands of its diverse client base. It's not one road; it's a multi-lane highway system, which is key to their strategy, especially as they focus on higher-income segments.

The primary engine for client acquisition and service remains the network of Independent Financial Advisors (IFAs) and their accredited offices, operating under a B2B2C structure. As of the third quarter of 2025 (3Q25), XP Inc. had 18.2 thousand Total Advisors connected to its platform, a slight decrease year-over-year. This network is the core delivery mechanism for holistic wealth management. The company has been enhancing its platform to replicate internal advisor tools for this IFA network in 2025.

For the broader market and digital-first users, XP Inc. uses its Direct-to-Consumer (D2C) digital platforms, which include the main XP platform along with Rico and Clear. These platforms serve a massive user base, with the company reporting 4.8 million active clients in 3Q25. The retail segment is a major source of asset gathering, bringing in R$20 billion in net new money during 3Q25.

XP Inc. also maintains specialized channels for its most affluent and geographically dispersed clients. The XP Private and International offices, which have a presence in locations like New York, Miami, London, and Geneva, focus on high-net-worth individuals and global clients. This focus is part of a strategic pivot in 2025 towards high-income and private segments.

Wholesale services are delivered through dedicated Corporate and Institutional sales teams. This segment delivered a record revenue of R$729 million in 3Q25, showing a 32% growth year-over-year, supported by Debt Capital Markets (DCM) activity and hedging solutions. The net inflow from corporate and institutional clients was R$9 billion in the same quarter.

The final, crucial access point is the technology layer itself, which supports all clients. The mobile applications and online portals are the digital front door for the 4.8 million active clients as of 3Q25. This digital infrastructure supports various activities, including 2.1 million Retail Daily Average Trades (DATs) in 3Q25, and the management of 1.5 million total active cards (split between 1.0 million Credit Cards and 0.5 million Active Debit Cards).

Here's a quick look at some key channel-related operational metrics from 3Q25:

The platform's reach is also supported by its growing credit and insurance offerings, which act as buffers against market volatility. The Expanded Loan Portfolio reached R$67 billion as of 3Q25, up 33% year-over-year. Also, Gross Written Premiums in the insurance segment rose 25% year-over-year to R$451 million in 3Q25.

The overall client asset base reflects the success of these channels. Total Client Assets were R$1.4 trillion in 3Q25, while the combined total of client assets, AuM, and AuC reached R$1.9 trillion.

Finance: draft 13-week cash view by Friday.

XP Inc. (XP) - Canvas Business Model: Customer Segments

You're looking at the client base of XP Inc. as of late 2025, and the picture shows a platform that is both massive in scale and strategically diversifying its revenue sources. The core is still the individual investor, but the growth engine is clearly shifting toward the corporate side.

The total active client count across all brands, including XP Investimentos, Rico, and Clear, stood at 4.8 million as of the third quarter of 2025. This represents a 2% year-over-year increase. However, the platform is seeing a slight contraction in its most basic digital accounts, with Retail DATs (Digital Accounts) totaling 2.1 million in 3Q25, which was down 6% year-over-year.

The sheer volume of assets managed is staggering. Total Client Assets, which includes Assets Under Management (AuM) and Assets Under Administration (AuA) for the main platform, reached R$1.4 trillion in 3Q25, showing 12% growth year-over-year. If you combine this with AuM and AuA from other segments, the total figure swells to over R$1.9 trillion, representing 16% YoY growth.

Here's how the net new money flowed in during 3Q25, which shows where new client capital is landing:

• Retail Net New Money (NNM) was R$20 billion.
• Corporate and Institutional NNM totaled R$9 billion.

Retail remains the dominant revenue generator, but the margin on that revenue is under pressure. The annualized retail take rate dipped by 9 basis points year-over-year in 3Q25. Still, the platform is successfully cross-selling, evidenced by the insurance arm, XPV&P, which saw its Total Client Assets hit R$90 billion in 3Q25, up 15% YoY.

The strategic pivot is clear when you look at the revenue growth by segment. While retail revenue grew by a more moderate 6% year-over-year in 3Q25, the Corporate & Issuer Services segment surged by 32% year-over-year, bringing its revenue to R$729 million. This segment is now a key profitability driver.

You can see the hard numbers for the key client-facing segments from the 3Q25 results in this table:

The HNW and Private Banking clients are embedded within the broader Retail numbers, though management has signaled a renewed focus on these high-income/private segments. For institutional clients, the data shows Institutional Revenue was R$340 million in 3Q25. It's important to note that the reported Client Assets figure of R$1.4 trillion does not include custody from institutional clients like asset managers, pension funds, and insurance companies.

For corporate clients, beyond the C&IS revenue, the expanded loan portfolio is a key metric, reaching R$67 billion as of 3Q25, marking a 33% year-over-year growth. International investors, while not broken out separately in revenue, contributed to a 6.9% year-over-year revenue increase in international operations.

The entire ecosystem is supported by a network of 18.2 thousand Total Advisors as of 3Q25. Finance: draft the Q4 2025 client acquisition forecast by Friday.

XP Inc. (XP) - Canvas Business Model: Cost Structure

You're looking at the cost side of the XP Inc. engine, which is heavily weighted toward its human capital and platform scaling. The largest component here is definitely the variable compensation tied to that massive network of advisors.

Variable compensation costs for the large network of 18.2 thousand advisors are a primary driver. This network, which stood at exactly 18,200 total advisors as of the end of 2Q25, is compensated through commissions on products or a fixed annual percentage fee on client assets, agreed upon between the Independent Financial Adviser (IFA) and the client. The resulting cost discipline is reflected in the Last Twelve Months (LTM) compensation ratio, which improved to 23.0% of Net Revenue in 2Q25, down from 24.6% in 2Q24. By 3Q25, this ratio ticked up slightly to 23.5%. Here's the quick math: keeping that ratio low means more revenue flows through to the bottom line, but you have to keep the advisors happy.

Significant Selling, General, and Administrative (SG&A) expenses are the next big bucket. In 2Q25, these totaled R$1.6 billion. To be fair, that figure was slightly higher in 3Q25, hitting R$1.7 billion. The efficiency ratio, which is SG&A (excluding specific incentive revenues) divided by Net Revenue, was 34.5% LTM in 2Q25, showing good operational leverage despite rising costs.

Technology and marketing investments are fueling platform growth and client acquisition, and you see this reflected in the non-compensation portion of SG&A. In 2Q25, these non-compensation expenses grew a hefty 24% year-over-year and 22% quarter-over-quarter, driven mainly by those marketing and technology pushes. Still, by 3Q25, management showed cost discipline as these same non-compensation expenses actually decreased by 1% year-over-year. They are definitely spending to acquire and retain clients.

The cost of funding for the growing credit portfolio is an emerging, but significant, cost center. The Total Credit Portfolio reached R$24 billion as of 2Q25, representing a 24% year-over-year growth. What this estimate hides is the interest expense associated with funding that growth, though the portfolio is heavily collateralized-72% was collateralized with Investments in 2Q25. By 3Q25, the Expanded Loan Portfolio grew substantially to R$67 billion.

Regulatory and compliance costs in a complex financial environment manifest in capital requirements. XP Inc. maintains a very strong capital buffer to manage these risks. Their Common Equity Tier 1 (CET1) capital ratio stood at a comfortable 18.5% in both 2Q25 and 3Q25, which is well above the Brazilian sector average of 12%.

Here is a snapshot of the key cost and efficiency metrics from the mid-2025 reporting period:

You should also keep an eye on the following components that feed into the overall cost base:

• Non-compensation SG&A growth in 2Q25: 22% Quarter-over-Quarter
• LTM Efficiency Ratio in 2Q25: 34.5%
• Return on Tangible Equity (ROTE) in 2Q25: 30.1%
• Return on Tangible Equity (ROTE) in 3Q25: 28.0%

Finance: draft 13-week cash view by Friday.

XP Inc. (XP) - Canvas Business Model: Revenue Streams

You're looking at how XP Inc. actually makes its money, which is key to understanding its valuation, especially now with the high Selic rate in Brazil. Honestly, the revenue mix shows a company successfully pivoting away from pure trading volume dependency. Here's the breakdown of the streams as of late 2025, primarily using the latest reported figures from the third quarter of 2025 (3Q25).

The first major pillar is the traditional brokerage and transaction fees from equity and fixed income trading, which falls under Retail revenue. While assets are flowing in, the revenue from this segment is more nuanced. Retail revenue reached R$3,704 million in 3Q25, marking a 6% increase year-over-year (YoY). What this estimate hides is the internal tension: fixed income revenues actually contracted by 2% YoY, even as client assets grew. The Annualized Retail Take Rate stood at 1.24% in 3Q25.

Next up are management and performance fees generated through the platform for proprietary and third-party funds. This is the fee-based component of wealth management. Funds Platform revenue was R$367 million in 3Q25, showing a 4% YoY growth. This aligns with XP Inc.'s strategic focus on growing the fee-based model, which already accounts for 21% of total retail AUC.

Interest income from the credit portfolio and the float on uninvested cash is another significant driver, also embedded within Retail revenue. The benefit here comes directly from the high interest rate environment, as float from both checking and investment accounts benefited from higher average volumes and elevated rates during the period. The Expanded Loan Portfolio was a strong contributor, reaching R$67 billion as of 3Q25, posting a massive 33% growth YoY.

The standout performer, which management is clearly hammering home, is the Corporate & Issuer Services revenue. This segment surged 32% YoY in 3Q25, totaling R$729 million for the quarter, which was a historic record. This growth was fueled by activity in Debt Capital Markets (DCM) and corporate banking solutions. To be fair, this segment is now a co-pilot for the whole company.

We can see the components of that Corporate & Issuer Services revenue clearly:

• Corporate revenues hit R$406 million, up 77% YoY.
• Issuer Services posted R$323 million.

Finally, the newer, cross-sell revenue streams are gaining traction. Insurance premiums and card transaction fees are part of this diversification. Life insurance written premiums grew 25% YoY in 3Q25, and assets from the proprietary insurer, XPV&P, grew 32% YoY to R$84 billion. For card transactions, the Total Payment Volume (TPV) was R$13.1 billion in 3Q25 (a 9% YoY growth), but the number you specifically asked about from the prior quarter, 2Q25, was R$12.4 billion.

Here is a summary of the key revenue components from the latest reported quarter, 3Q25, in millions of Brazilian Reais (R$):

You should note that the total Gross Revenue for XP Inc. in 3Q25 was R$4.9 billion, up 9% YoY.

Finance: draft 13-week cash view by Friday.