As investors scramble to find a safe haven in the current market, a new fintech company has launched to retail investors to unlock Wall-Street caliber investment products with a fixed 7% return – by far one of the highest returns out there.
Compound Banc, fresh off of SEC Regulation A Qualification for a $75 million “mini IPO,” has come to market with a simple-to-use app and web-based platform to offer investors real estate-backed bonds for as little as $10 bucks per bond. Compound Real Estate Bonds (CREBs) earn accredited and non-accredited investors a fixed 7% yield on invested money with no fees, no commitments, and no minimums. The bonds are backed by high quality, cash-generating commercial real estate assets. But better, investors can withdraw their funds at any time, for any reason, without fees or penalties. It’s full liquidity, on demand.
“Unless you’re investing in a REIT, the data is so fragmented,” said Anoop Singh, Chief Operating Officer. “What we’ve done is make it simple so that anyone can invest in Compound Bonds, and anyone can get their money out any time they want. We have made real estate investment available to the everyday person who wants to invest.”
Exactly how they make it simple comes down to their team of analysts, real estate specialists, and, of course, tech. They utilize WarrenIQ, a platform in their technological ecosystem that analyzes data and qualitative factors to enhance investment decision-making ranging from market selection to risk mitigation in real estate. The platform performs comprehensive data analysis to identify undervalued opportunities and markets, supporting the company’s investment principles. This is done via proprietary algorithms, machine learning, and AI.
That AI evaluates thousands of data points from real estate listings, Mobility Market Intelligence (MMI), CoreLogic, and commercial real estate databases. The technology then identifies trends and patterns in pricing and assesses risk for the team by assigning a proprietary score to each property. Once finalized, the professional real estate team evaluates the data once more and uses it to make investment decisions based on their experience.
“What we saw transpire in the retail environment over the last two years, especially in alternative asset investing, was nothing short of horrifying,” said Michael Burmi, Chief Investment Officer at Compound Banc. “The vast majority of retail investors do not have the tools, products, or technicals to beat Wall Street in the short term, but many retail financial platforms incentivize investors to try and do exactly that. We empower retail investors to use their greatest advantage over Wall Street, which is time. Compound provides institutional-quality products that help investors build substantial wealth over the long haul.”
Accredited investors have no restrictions on the amount of bonds they can purchase, while non-accredited investors can purchase bonds up to 10% of their annual income or net worth. The investments are backed by diversified real estate assets (real estate related debt, commercial, multi-family, and industrial properties) across sectors and markets with a 7% fixed APY, compounded daily.