Apex launches fractional fixed income trading for retail investors
“The ability for people – and not just high net-worth investors – to easily add fixed-income and diversify their portfolios is a game-changer.”
In a landmark move that could reshape the fixed-income market for retail investors, Apex Fintech Solutions is set to launch the industry’s first platform for fractional fixed-income investing. This initiative will make corporate bonds and treasuries accessible to everyday retail investors, breaking down longstanding industry and structural barriers that have traditionally limited such opportunities to institutional participants.
“There is no reason that the average investor should be left on the sidelines when it comes to fixed-income,” said Bill Capuzzi, CEO of Apex. “Finally, you’ll be able to buy a few dollars worth of bonds the same way you can buy a few dollars worth of your favorite stock. This isn’t just a win for Apex – this is a win for every investor and every fintech empowering them.”
Good timing for retail investors looking for diversification and yield
Fractional investing in equities has been a key factor in democratizing access to financial markets, especially for younger or less wealthy investors. Apex’s new platform aims to extend this inclusivity to fixed-income investments. As bond yields continue to climb, the timing could hardly be more opportune for retail investors looking for diversification and yield.
“The ability for people – and not just high net-worth investors – to easily add fixed-income and diversify their portfolios is a game-changer,” said Jenny Just, Co-Founder and Managing Partner at PEAK6, Apex’s parent company.
Historically, retail investors have been hampered by various obstacles in the fixed-income market. These include large trade sizes, higher minimum investments, and a lack of transparency in pricing and dealer-to-dealer relationships. Apex’s platform aims to circumvent these barriers by allowing fractional corporate bond purchases, thereby enabling a more equitable, low-cost investing experience.
Developed in partnership with Moment Technology Inc., this new offering is not just an add-on but a seismic shift in the approach to fixed-income investing for retail investors. Apex’s platform will potentially be a key component in the fintech ecosystem, empowering other fintech companies to offer similar services to their clientele.
While the platform is currently pending launch and set to go live sometime in 2023, the ramifications could be far-reaching. Apex Fintech Solutions, already a significant player in the fintech space, appears poised to further disrupt traditional financial market structures, continuing its mission to democratize investing for the masses.