Wall Street tells us their capital markets are the place to invest. Specifically, they point us toward the limited group of 3,500 actively traded stocks on the primary exchanges.
What you don't hear about are the roughly 14,500 public companies living far from the "Big Boards" for reasons of eligibility or size. By my standards, this represents an 81% failure of the equity capital market system to provide liquidity and a sustainable home for the companies who saw "going public" as the answer to their finance needs — and a failure to the investors who believed in them.
Out of 26 million U.S. companies, only 18,000 are public. The remainder leaves a huge scope of firms that investors don't have ways to access efficiently. The capital market system, as we know it today, does not readily serve the vast number of small to mid-sized growth companies proven to be the innovation, economic and employment engine of our nation.
YourStreetFunds were created to serve both company issuers and investors that are looking beyond existing opportunities.
The introductory portfolios in the YourStreet family of funds target the more than half million companies in the mid-market space — $5M to $250M in annual revenue. YourStreetFunds launch through third-party best-of-breed fund managers with deep knowledge of their chosen investment sectors.
All funds utilize the TIGRcub™ security structure — Top-line Income Generation Rights Certificates — an instrument that neatly avoids the necessity of public offerings and liquidity events to provide investor returns.
It's time to change the paradigm of investing.
Not on Wall Street, not even on Main Street, but on YourStreet.
— Stephen H. Watkins, CEO