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About Yieldstreet
The platform is best for high-net-worth individuals looking to invest beyond what they can do with a typical brokerage. It is opening up to investors who don't meet the SEC accreditation minimums, but it's still offering speculative investment opportunities that carry significant risk.
Yieldstreet is not an ideal platform for beginners or passive investors. Yieldstreet doesn't offer a robo-advisor. Moreover, alternative investments like art and financial instruments may be overwhelming for beginners who are looking to dip their toes into investing. In general, Yieldstreet is best for experienced and active traders.
One big drawback of the Yieldstreet Prism Fund is the fees. They're not horrible, but they're still 1.5% per year, which is a decent chunk of your return. If this could go down to a flat 1%, it would be more in line with competitors. Another downside is some history of losses.
The diversified portfolio of the Prism Fund should help offset the risk of losses, but it's still possible.
Yieldstreet: Overall Rating
| Feature | Insider rating (out of 5) |
| Fees 20 | 3.75 |
| Investment selection 20 | 4.75 |
| Access 15 | 4.33 |
| Ethics 15 | 4.00 |
| Customer support 15 | 4.25 |
| Liquidity 15 | 3.00 |
| Overall score | 4.04 |
Yieldstreet Pros and Cons
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Is Yieldstreet Trustworthy?
However, the BBB also says on its website that ratings don't guarantee whether Yieldstreet will be reliable or perform well. For this reason, it's important to do additional research when determining whether or not to use an investment app. Consider reading customer reviews or talking with your peers that have used Yieldstreet.
In 2022, a class-action lawsuit against Yieldstreet was picked up after multiple investors reported losing over $100 million in alternative investment products. Yieldstreet claimed that it wasn't at fault. Currently, the lawsuit is still pending.
How to Invest With Yieldstreet
Direct Investments
Accredited investors can make direct investments in alternative assets with their
Past options include real estate investments in locations across the US, projects relating to oil tankers and large cargo shipping vessels, and a portfolio of post-war and pop art. Most investments show a positive return, but Yieldstreet is clear that some investments have not worked out well in the past.
Like any other alternative investment, it's important to understand the risks and decide if it makes sense for your investment goals.
Prism Fund
If you want to take a more diverse, general approach to your alternative investments, the Yieldstreet Prism Fund could be a better fit. This fund is newly open to any investor in the US (except residents of Nebraska and North Dakota). You don't have to be an accredited investor to buy into this fund.
While the Yieldstreet Prism Fund works like a mutual fund in many ways, there are some important differences. Your investment is not highly liquid. That means you can't just sell your shares if you need the cash for something else. If you invest in this fund, it's important to understand that your funds are tied up for a number of years outside of planned quarterly distributions at a 7% annualized rate and limited distribution windows.
This is a closed-end fund that plans to shut down in March 2024. At that point, all assets will be sold and profits will be distributed to investors, who may also have an opportunity to roll their proceeds into a future Prism Fund offering.
Yieldstreet Wallet: FDIC-insured savings
IRA Accounts
If you have a Yieldstreet Wallet, you are eligible for a self-directed IRA through Yieldstreet that comes with "checkbook control." That means you can buy and sell a range of alternative assets, including an investment in the Prism Fund, through a Yieldstreet IRA.
Yieldstreet Fees
The Prism Fund charges a 1.0% annual fee, which is roughly in line with many actively managed stock funds, as well as an administration fee of up to 0.5% (total of 1.5%). There is also a $500 minimum investment for Yieldstreet's Prism Fund.
Yieldstreet — Frequently Asked Questions (FAQs)
Is Yieldstreet Wallet FDIC insured?
Yes. The Yieldstreet Wallet account's custodian is Evolve Bank & Trust, an FDIC-insured bank. Any funds you deposit into the Yieldstreet Wallet are thereby insured up to $250,000.
Is Yieldstreet accredited?
No. Yieldstreet serves both accredited and non-accredited investors. However, you'll need to be an accredited investor for some of Yieldstreet's offerings.
What is the average return of Yieldstreet?
The average return on Yieldstreet has historically been 8% to 20% depending on the actual assets in your portfolio.
How much does Yieldstreet cost?
Yieldstreet has a
Compare Yieldstreet
Yieldstreet vs. Fundrise
Investors must make a minimum investment of $500, which is significantly lower than some of the other top investment apps like Crowdstreet and
That said, minimum requirements are significantly lower at Fundrise (a minimum
Read our review of Fundrise.
Yieldstreet vs. CrowdStreet
Yieldstreet and
In addition, CrowdStreet only accepts accredited investors. Investors of all income levels can use Yieldstreet, but this platform is best for high-net-worth individuals that want to invest beyond what a typical brokerage offers. CrowdStreet charges a 1% to 2.75% fee.
Read our review of CrowdStreet.
Why You Should Trust Us: How We Reviewed Yieldstreet
We examined
Real-estate investing platforms generally offer multiple assets, trading tools, fees, and other resources. Some investing platforms are better for more advanced investors or active investors, while others may better suit beginner investors and passive investors. Yieldstreet was evaluated with a focus on how it performed in each category.