YieldStreet and Citi partner to deliver access to private credit opportunities
YieldStreet, a digital wealth management platform, has formed a strategic partnership with Citi to access investment opportunities across private credit markets, including Real Estate, Aviation, Shipping, Telecommunications, as well as other structured credit products.
Access to additional scale will enable YieldStreet to respond to the demand it is seeing from the individual retail investor community for access to its products. Since its founding in 2015, YieldStreet has originated more than USD1.2 billion of investment opportunities, generating significant engagement and demand from its growing investor community.
“YieldStreet is thrilled to continue our focus on first-to-market products, enabling our investor community to access institutional assets across the yield spectrum. We are excited and honoured to work with the best-in-class team at Citi, and to create a new opportunity for YieldStreet, our investors, and our partners,” says Milind Mehere, CEO of YieldStreet.
Citi is backing the partnership through its Spread Product Investment Technologies (SPRINT) unit, within the Citi Markets Fintech Investment program. The business was created in 2018 with a focus on partnering with innovative companies that are reshaping the USD40 trillion debt and private credit markets.
“We have always regarded YieldStreet as an innovative platform in the market, bringing institutional-style investments to a broad audience,” says Matt Zhang, Managing Director and Head of SPRINT at Citi. “We’re really excited to partner with the YieldStreet team and believe there is a tremendous opportunity for us to scale our relationship together.”
“Our partnership with Citi, yet again, reflects the ongoing paradigm shift in the financial services sector, highlighting the value YieldStreet offers to investors and originators alike. Together, we will further enable YieldStreet investors to build diversified portfolios beyond the traditional composition of cash, stocks, and bonds,” says Michael Weisz, President of YieldStreet.
In addition to Citi, private investment funds managed by Soros Fund Management LLC have also renewed their warehouse facility from USD100 million up to USD250 million. This facility will further support the scale of investment volume due to strategic partnerships such as YieldStreet’s relationship with Citi
In early 2019, YieldStreet closed a USD62 million Series B financing round, with investment from Edison Partners, Greenspring Associates and Soros Fund Management LLC.