Commonstock, a broker-independent social platform that amplifies best investing knowledge, secures $ 25 million Series A
Ordinary actions, a broker-independent social platform that ‘amplifies’ the best investment knowledge, has leveraged $ 25 million in capital through its Series A cycle led by Coatue, along with contributions from QED, Floodgate, Upside Ventures, Resolute Ventures, Abstract Ventures.
Commonstock’s latest investment round was also joined by Philippe Laffont, Bill Ackman, Ari Emanuel and Michael Ovitz. Li Jin from Atelier, Turner Novak from Banana Capital and Jill Carlson also participated in the tour.
Commonstock management has indicated that it will use the product to further its goal of “expanding access to investment knowledge by continuing to develop its platform.”
“The era of memestocks has only underscored the need to separate signal from noise when it comes to investing in retail,” said David McDonough, CEO and Founder of Commonstock.
“It’s clear that as more and more people access the promise of capital markets, they need a transparent space to share their knowledge and ideas, which is exactly what we have built. Our aim is to amplify great knowledge and ideas, attracting everyone from the most legendary investors to those who wish to take their investing skills to the next level. We are excited to expand our platform to support even more investors and creators.
Since Commonstock’s stealth launch in August of last year, it claims to have become a hub for retail investors, with more than one billion assets connected to the platform.
Commonstock works by connecting users’ existing brokerage accounts “to the app so they can share their portfolio in real time in percentage (not dollars), performance and trades.”
Users will receive real-time alerts whenever their friends buy or sell, so they can copy each other’s trades and invest together. They also have “the opportunity to participate in discussions on investment theses and industry dismantling”.
The ad also mentioned:
“The influence of active retail investors is on the rise, now accounting for 15% of current US stock investors. But while technology and declining transaction costs have made this possible, retail investors have no more access to investment knowledge than they did a decade ago. “
The GameStop craze earlier in 2021 helped establish that there is great value in going online to “share investment ideas, but more transparency and accountability is needed.”
By linking user profiles to brokerage accounts that show current performance and investments, the platform aims to “establish transparency between what a user says and what he actually invests.”