Yieldstreet Review – Forbes Advisor

You can browse some Yieldstreet fund options through its website without an account. However, you’ll need to register to see all the fund options and make an investment.

Registration and Accreditation

Yieldstreet offers a streamlined online registration. You must verify your identity, link a bank account for investments and answer questions about your investment objectives, portfolio size and experience with alternative investments. Based on this, the platform recommends potential funds.

As part of the enrollment process, you must indicate whether you’re an accredited investor. The private assets on Yieldstreet have stricter investor rules than traditional stocks and bonds. You cannot access most Yieldstreet funds unless you are an accredited investor. This means you meet at least one of the following:

• Income. You’re single and have an income over $200,000 or are married with a joint income over $300,000.
• Net worth. Your net worth is over $1 million, not including your primary residence.
• Financial services professional. You hold either the Series 7, 63 or 82 financial license.

You must prove your status as an accredited investor by uploading documents proving your income, net worth and/or financial license.

Investment Options

If you do not qualify as an accredited investor, you can still join Yieldstreet. However, your investment options will be much more limited. You could invest in only two funds:

• Yieldstreet Prism Fund. This fund invests across a range of private assets, including real estate, private credit, legal finance, art, structured notes, and more. It requires a minimum investment of $10,000.
• Yieldstreet Growth & Income REIT. This real estate investment trust (REIT) invests in properties across the United States. It aims to make money from capital appreciation and rents. This fund requires a minimum investment of $10,000.

If you are an accredited investor, you can access the full range of offerings on Yieldstreet. It offers hundreds of different funds focused on alternative investments.

On the website, you can sort the funds based on minimum investment size, the private assets in the fund, the term for how long you are expected to keep your money in the fund and whether the fund is eligible for your individual retirement account (IRA).

You can also sort funds by the investment strategy. Yieldstreet divides funds between

• Income. These funds pay you back more quickly with regular distributions.
• Growth. These funds have a higher long-run return but less early access to your money.
• Balanced. These funds combine both goals.

When you click on each fund option, it will tell you more about the investment goals, the target return, the fees, the investment term and the expected payout schedule.

Yieldstreet’s funds are not publicly traded. Once you invest, you cannot quickly cash out all your money by selling to someone else. The funds will tell you when and how much money will come back to you over time. For example, some funds will let you get some money out every quarter, while others might wait years to distribute.

Each fund will also show how many more investors it will be willing to take. Once a fund hits its limit, it will no longer take on new contributions. After you set up your investments, you’ll receive the payouts based on the fund’s design and investment performance.