Buy Stocks BEFORE the Market | 4 Websites | Summary and Q&A

TL;DR

Private market investing is becoming accessible to all investors, with platforms like Forge, Equitize, Republic, and Disruptor offering opportunities at various investment thresholds.

Key Insights

• ✋ Government regulations and high fees historically limited access to investing in private markets, but platforms like Robinhood have democratized the process.
• 🔒 The rise of unicorns (private companies valued at $1 billion or more) in the private market is creating investment opportunities before companies go public.
• ✋ Private market investing has been exclusive to major investors and specialized funds due to high entry thresholds and complexity.
• 😑 Platforms like Forge, Equitize, Republic, and Disruptor are breaking down barriers by offering access to pre-IPO investing at various minimum investment levels.
• 👻 Equitize acts as a marketplace, allowing investors to buy shares sold by employees or investors in private companies.
• 😘 Republic offers crowdfunding opportunities with lower minimum investments but higher risks.
• 🌥️ Disruptor focuses on larger, established private companies, giving investors a less risky option.

Transcript

when investing first got started the typical investor looked a lot like this more than a hundred years later at the turn of the century and investors looked yeah pretty much the same because of government regulations and high fees the only way to invest over the last 200 years has been through a broker and most Main Street investors just never got ... Read More

Questions & Answers

Q: Why has private market investing been exclusive to major investors and specialized funds?

Private equity investments used to require high investment thresholds and were complex, limiting access to only wealthy and institutional investors. However, this is changing with the emergence of new platforms like Forge, Equitize, Republic, and Disruptor.

Q: What is the unique model of Equitize?

Equitize works exclusively with private companies that have already raised capital from institutional investors. It acts as a marketplace, allowing employees and investors to sell their shares, which are then packaged into funds and offered to new investors. The minimum investment on Equitize ranges from $10,000 to $20,000.

Q: What risks are associated with investing through Republic?

Republic offers crowdfunding and investing in early-stage startups. While it has lower minimum investment requirements and perks like merchandise or membership programs, the risks are higher compared to investing in later-stage private companies.

Q: How does Disruptor differentiate itself from other platforms?

Disruptor offers investments in larger, more established later-stage private companies, making it a less risky option. The platform provides detailed information on market opportunities, business models, and risks for each investment, allowing users to make informed decisions.

Summary & Key Takeaways

• Historically, investing in private markets was limited to wealthy individuals and institutional investors, but now it is becoming more accessible to Main Street investors.

• Private companies, such as SpaceX, are reaching significant valuations and market share even before going public, creating investment opportunities.

• Platforms like Forge, Equitize, Republic, and Disruptor are providing access to pre-IPO investing, each with different investment thresholds and offerings.