YieldX closes $18M Series A round led by Envestnet

The two companies also form a strategic partnership to distribute YieldX’s FinTech products

Miami-based FinTech YieldX has landed an $18 million Series A funding round led by Envestnet, a publicly traded company that develops software for financial advisors.

YieldX’s mission is to bring fixed income investment from Wall Street to Main Street. Startups like Robinhood have democratized the market for equities; however, consumers continue to face barriers to entering the fixed income market. Adam Green and Steve Gross, two financiers turned tech entrepreneurs, decided to disrupt this $200 trillion industry by developing YieldX in 2019.

The startup plans to use this funding from Envestnet to further scale YieldX’s technical teams, from quants to engineers to analysts. YieldX hopes this infusion of cash and talent will further support its goal of bringing fixed income trading to a much broader group of investors.

At the core of YieldX’s offering is its API, which lets third parties build bespoke fixed income platforms by leveraging the startup’s proprietary datasets. With this funding, YieldX reports that it will expand its API suite in various ways: making it more customizable, adding new data and integrations, and expanding ESG (environmental, social, and governance) and impact tracking.

Strategic partnership announced

Today, the two companies announced a strategic partnership whereby Envestnet will distribute YieldX’s tech and products through its platform. That will enable Envestnet’s network of more than 100,000 advisors and 6,000 companies to take advantage of YieldX’s insights into the fixed income space.

In a statement, Rich Aneser, Chief Strategy Officer of Envestnet, commented: “Through our strategic partnership with YieldX, and investing to expand its capabilities, we are able to bring more income related solutions to market for helping advisors meet a critical client need.”

YieldX’s offerings will sit alongside Envestnet’s suite of tools, like access to variable annuities from insurance carriers and a product from FIDx that facilitates the management of annuities.

Green (pictured above), co-founder and CEO of YieldX, called the partnership “a powerful way to level the fixed income playing field for Envestnet’s broad network of advisors and end investors with solutions that simplify the traditional complexities of sourcing and trading fixed income assets.”

He continued: “We believe the power of our solutions can make a meaningful impact upon the financial futures of investors.”

Business model is B2B2C – and YieldX is hiring

When Refresh Miami sat down with Green this summer, he explained how YieldX’s business model can be described as B2B2C, meaning that the company’s platforms and products are sold on to companies that in turn share them with consumers. He underscored the startup’s focus on delivering for their clients by creating “a user experience that will resonate with the [end] consumer.”

Applications of YieldX’s platform run the gamut from helping FinTech companies create investment products based on targeted yield and risk inputs to helping wealth managers optimize their clients’ portfolios and delivering insights and trade ideas to broker dealers.

Are you interested in working at YieldX? They are currently hiring for a wide range of roles in Miami (but open to remote work arrangements), including Frontend Engineer, Vice President of Software Engineering, and Visual Designer.


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Riley Kaminer