Edison Partners leads a $62 million round of financing in the online wealth management platform, YieldStreet, according to a Tuesday announcement. The capital will help expand investment offerings, investor access and educational resources.
Who Is YieldStreet?
With more than 100,000 community members, YieldStreet enables both accredited and non-accredited investors to diversify their portfolios with asset classes ranging from real estate to commercial loans and legal finance to marine finance. The company won best alternative investment platform at the Benzinga Global Fintech Awards last year.
“YieldStreet is democratizing the next frontier of wealth management, giving retail investors access to institutional-grade investment products that were previously off limits to them,” said Edison Partners managing partner Chris Sugden, who will join the YieldStreet board. “They have found a profitable and scalable high-growth model in a variety of investments, and are now broadening their offerings with additional products.”
Over the last year, YieldStreet reported three-fold growth in revenue and platform-originated investments. Altogether, the platform has supported $600 million in investments boasting a 12-percent internal rate of return.
What’s On The Horizon?
YieldStreet plans to roll out new investment, banking and wealth management products this year.
“We saw an opening to create more efficient capital allocation and lower the barriers to entry, providing investors access to make their money work harder,” YieldStreet founder and President Michael Weisz said in a press release. “Edison’s expertise and commitment in fintech, specifically with wealth management, was very attractive to us. We are aligned on the vision and their partnership will enable us to accelerate our growth, launch new investment products, and bring our financial inclusion vision to millions of individuals.”
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