We know this year’s volatile public market conditions have left even the most confident investors feeling on edge about the future. With that in mind, we wanted to take this opportunity to share some positive news from Yieldstreet as we enter the final quarter of 2022.
By nearly all metrics, Yieldstreet investors are on track to have their strongest year to date.
- We have distributed ~$500M to investors year-to-date — our highest in a single year — with three months to go.
- The vast majority of our investments continue to perform in line with expectations, despite the volatile public market landscape.1
- We recently achieved our highest return by a single investment with Williamsburg Multi-Family Restructuring — a 45% net annualized return.
Since inception and through multiple market cycles, 91% of our matured investments have achieved within 0.5% of their target or better. Yieldstreet is proud to be one of the only private market platforms that publishes realized returns for each of our individual investments.
We continue to source opportunities that we believe are well-suited for the current environment, launch new platform features to enhance your investor experience, and publish content that provides education and context for our 400K+ members.
With that said, 2022 has been among the worst years for a traditional portfolio of stocks and bonds.
In an interview with Yahoo Finance late last year, Michael warned of a challenging public market outlook, as inflation began to rise and signs of economic instability emerged. Since then, we have seen public equities fall by up to 25% and bonds drop by nearly 15%.
We believe the main reason for this volatility is tremendous macro and geopolitical uncertainty:
- How high will the Fed and other central banks hike rates?
- Will inflation come down after trillions of dollars in stimulus has flowed into the economy?
- How long will the war in Ukraine and related market disruption last?
- What will be the impact of the upcoming general election?
As we see it, we have not yet reached the bottom, and significant volatility will remain a fixture of traditional portfolios for the foreseeable future.
We believe the real returns are in private market alternatives.
In significant drawdowns of the past, there were few opportunities to invest beyond stocks and bonds. Today, more alternative options are available than ever.
In consultation with your advisors, we encourage you to consider if an opportunity exists to expand your allocation to private markets. No matter the environment, BlackRock and other top managers suggest allocating up to 20% of your portfolio to alternative investments.
To help provide guidance, we recently launched a tool that matches you with investment opportunities aligned with your objectives. See what investments we recommend for you here.
We thank you for your trust in Yieldstreet and look forward to continuing to build an enduring relationship with you.
Milind Mehere
Founder & CEO
Michael Weisz
Founder & President
What's Yieldstreet?
Yieldstreet provides access to alternative investments previously reserved only for institutions and the ultra-wealthy. Our mission is to help millions of people generate $3 billion of income outside the traditional public markets by 2025. We are committed to making financial products more inclusive by creating a modern investment portfolio.
2 Represents an net annualized return, using an internal rate of return (IRR) methodology, with respect to the matured investments shown in your Portfolio experience, utilizing the effective dates and amounts of subscriptions and distributions to and from the investments, net of management fees and all other expenses charged to the investments.[read more]