Published on 1/4/2021
Yieldstreet is the first company/investment platform that C3 is reviewing in our Alternative Investment Series. C3 will be releasing these posts as research is completed.
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Yieldstreet – YS is an alternative investment organization that helps regular investors participate in alternative investing. Much of the assets that YS makes available to everyday investors has typically only been available to the ultra-wealthy or hedge fund managers.
HOW IT WORKS: Investors open an account on YS and select a YS provided portfolio or build their own. This portfolio can consist of Real Estate, Legal finance, Marine Finance, Commercial or Consumer Finance and Fine Art.
THE NUMBERS: YS investors have invested over $2 billion since the inception of YS in April of 2015. YS has returned over $1.1 billion to investors through interest and principal returns ($179 Million has been interest earned). YS is backed by some notable high-profile investors and tech entrepreneurs and their pockets.
THE ETHICS: YS is funded by some big names and one of those names is George Soros. George Soros is the Hungarian billionaire that the right hates and the left loves because he has funded much of the lefts agenda which is commonly opposed to Christian Values. The George Soros connection to YS is something that should give make us stop and think before investing with YS, but it is not a hard No, just yet.
YS, in addition to their connection with George Soros is also a company that invests in debt regularly. Investing in Debt can be a tricky ethical practice. If interest rates are too high and unreasonable it can become usury, which is a sin (St. Thomas on the sin of usury).
Also, YS is promoted as a way for the everyday investor to invest in assets that are reserved for the ultra-wealthy, but this is a bit misleading. Much of the assets that YS offers are only available to accredited investors and the everyday person.
The bottom line for YS is that its offerings are extremely broad and ever changing which make it a good financial option for investors who really want to diversify, but this also makes it hard to keep track f their ethics. This broad diversity problem coupled with their connection to Soros and their flirtation with usury keep them from getting through the C3 screening process.