I would like to thank all our Rialto Markets’ community from partners, staff, shareholders, issuers, advisors and investors for your support and guidance during our journey this year.
We would not have made so much progress without your support and we continue to be grateful for everybody’s contribution to our recent significant growth.
This is the first of our regular Rialto Markets’ newsletters offering our community updates on our progress.
We thought it best to begin with an overview of our strategy and business:
To accomplish our Corporate Mission, we have three business lines:
- Primary Markets
- Secondary Markets
- White Label
In our Primary Markets business, we work with Issuers (private companies) who are raising capital via a Regulation CF, A+ or D offering, providing the infrastructure as a broker dealer to support these raises.
Rialto Markets is a registered broker dealer in 50 states & Puerto Rico, including those states that require a broker dealer to raise funds from the public (otherwise known as the ‘problem states’).
Rialto Markets:
- Reviews all materials to ensure the marketing is done in compliance with securities regulations.
- Performs AML/KYC on all investors.
- Performs operational support for the issuer related to the capital raise, including investor outreach related to abandoned commitments.
- Manages the money movement, including the payment rails and reconciliation with the escrow provider.
- Communicates with the transfer agent the beneficial owners associated with the capital raise.
Our Secondary Markets business offers a SEC and FINRA regulated Alternative Trading System (ATS) to match orders in these privately held securities on what we call our MarketBoard system for both traditional and digital form.
The White Label business allows marketplaces and other private market issuance services to offer secondary trading in a cost effective, compliant fashion.
We are furthest along in executing on the Primary Market business, followed by the White Label and Secondary Market businesses.
Now that we have covered our business lines, here is the progress to date:
Executive Summary
- Nine current live deals
- $175m total dollars raised currently
- Six signed contracts awaiting kick-off
- Value of all signed contracts totalling $300m
- Two new pipeline partnerships signed
- 24 media sites that mentioned Rialto Markets last month
Primary business
- We are currently running nine live investment opportunities/completed deals, with 9 investment deals in the pipeline
Secondary Business
- We have already signed a number of private securities for the launch of our ATS secondary market platform and we aim to go live when we have reached our goal of 100,000 investors registered to our platform.
White Label
- We have already signed white label deals with partners to use our ATS with hundreds of issuers and thousands of transactions.
Highlight Deal:
We are especially excited to have delivered such a successful CF raise with Atlis Motor Vehicles, raising close to $5m in less than one month and attracting over 400,000 people to the investment offering page in one week.
Here is the offering: Landing – Invest in Atlis Motor Vehicles
This follows $4 million raised towards a $15 million Reg A+ target for Digital Twin tech leader Cityzenith. On reaching $5 million any Reg A+ company and its shareholders can start trading a percentage of their shares via a regulated secondary market ATS for private companies.
Awards and Recognition
Rialto has won the Aite 2021 Capital Markets Innovation Award, as well as the Impact Innovation Award in 2020. In the last six weeks, we have been featured in the media over 100 times, which is testament to the progress we have made in such a short period of time.
It’s important to us to pioneer and educate the marketplace and we are committed to sharing our thought leadership through various media: newsletters, podcasts, webinars, and events talking about private markets and the seismic shifts needed in the financial regulation landscape.
Corporate News
We’re continuing to grow our highly experienced team to facilitate and manage our growing pipeline.
Before the end of 2021, we will be announcing the launch of our own Regulation CF raise for $5m, before we move onto a much larger, institutional round hopefully next year. We already have a lot of appetite from accredited investors and institutions for the future, but we are committed to making investments accessible to everyone so the $5m CF raise will be an opportunity for retail investors to get in early before accredited investors and institutional investment groups.
We are focused on the upcoming raise and have several investment roadshows in New York and Boston this fall. We will also be offering the opportunity for investors to join some exclusive, invite-only investment webinars where we will share more detail on our growth and business plans as well as answer any questions from potential investors and partners.
Thank you once again for your ongoing support. We are getting major traction now, and markets are moving quickly.
We are excited to be building and growing this Rialto Markets community, advocating our mission and joining us on our great adventure!
Shari