Masterworks vs Yieldstreet 2024

Jeremy Biberdorf
By: Jeremy Biberdorf
 
Disclosure: This page may contain affiliate links. This means we earn a small commission (at no additional cost to you) if you purchase a product through our links.

As financial landscapes evolve, so do investment avenues. Traditional stocks and bonds are no longer the sole players. A wave of alternative investments has swept the financial sector, offering an oasis of opportunities beyond the fluctuating stock market.

This realm is dominated by two giants: Masterworks and Yieldstreet. Both platforms beckon with lucrative promises, but which deserves your attention?

Masterworks is Better for:Yieldstreet is Better for:
Art enthusiasts seeking fractional ownership in esteemed artworks.Those exploring diverse alternative asset classes.
Individuals focused on the art investment market.Investors who want real estate and short-term notes in their portfolio.
Investors aiming for long-term gains from art appreciation.Enthusiasts eager to tap into the Prism Fund.
Individuals eager to penetrate elite art markets.Both accredited and non-accredited investors wanting portfolio diversification.

Platform Showdown

Masterworks

Masterworks, not just an online platform, is an art lover’s paradise. Here, one doesn’t just buy art; they own a fraction, a legacy, in the form of shares of iconic artists like Andy Warhol. It breaks down the barrier between art investors and million-dollar artworks. This platform brings the elite world of art investing to the fingertips of everyday investors. Curious about their tapestry of offerings? Dive into our detailed review.

Yieldstreet

On the flip side, Yieldstreet is a vast horizon of alternative asset classes. From real estate ventures to the allure of the Prism Fund, it’s a platform tailored for diversification. Yieldstreet embraces all – hedge funds or average investors, ensuring everyone gets a slice of the alternative investment pie. For a more in-depth look at Yieldstreet –check out our extensive review.

Masterworks Yieldstreet
Type of Service Art Investment Platform Multi-asset Alternative Investment Platform
Best Use Long-term art appreciation Diverse portfolio diversification
Customer Support Dedicated art investment advisors 24/7 online support and financial advisor access
Investment Minimum Thousands for fractional art ownership Varies based on asset type
Liquidity Secondary trading market available Structured notes and other liquid assets
Platform Accessibility Web and mobile app Comprehensive mobile app and web platform
Current Promotion

More Info

More Info

Modest Money Overall Rating
4.5 rating based on 5 ratings
4.2 rating based on 5 ratings

Factor 1: Portfolio Diversification

Yieldstreet provides a broader spectrum of alternative asset classes

  • Masterworks offers a niche focus on art investments.
  • Yieldstreet takes the lead for those wanting varied portfolio diversification.

Masterworks zeroes in on the world of art. It’s a platform that gives investors access to pieces of art by famous artists, ensuring a singular focus on art appreciation. While it offers a unique form of portfolio diversification, it does so within the art world’s confines.

Yieldstreet, in contrast, is a smorgasbord. From real estate investments to venture capital, it provides a vast array of alternative investment options. Its strength lies in giving its users a wider net, ensuring they can diversify across multiple asset classes.

Factor 2: User Accessibility

Yieldstreet caters to both accredited and non-accredited investors

  • Masterworks grants art investing to non-accredited investors.
  • Yieldstreet edges out with broader investor inclusivity.

Masterworks, with its democratized approach, opens the door to art investments for everyday investors. With fractional shares, it ensures that owning a piece of art, or rather a share in one, is no longer a millionaire’s game.

Yieldstreet takes a more holistic approach. It doesn’t discriminate between accredited and non-accredited investors. Everyone, regardless of their financial standing, has a seat at the alternative investment table.

Factor 3: Investment Minimums and Fees

Yieldstreet varies its minimum based on asset class, often more approachable for many

  • Masterworks has a higher threshold with its art shares, setting a steeper entry for new investors.
  • For easier entry and diverse price points, Yieldstreet appears more accommodating.

Masterworks, while democratizing art investments, still demands a hefty initial buy-in. Investing in pieces by famous artists can mean thousands of dollars, even for fractional ownership. This is understandable given the value and rarity of the art pieces they offer. While the potential returns and price appreciation can be lucrative, the entry barrier is undoubtedly higher.

Yieldstreet, conversely, offers a mosaic of investment options, each with its unique minimum requirement. Whether it’s real estate, short-term notes, or the Prism Fund, the platform provides a variety of entry points. This flexibility can be especially beneficial for potential investors who might be cautious or working with a limited budget.

Factor 4: Potential Returns and Historical Performance

Yieldstreet showcases a diverse portfolio with varying degrees of potential returns

  • Masterworks offers a chance at significant appreciation from renowned artworks.
  • With a broader offering and historical data, Yieldstreet tends to have a broader appeal.

Masterworks, at its core, is about the art market’s potential price appreciation. Art, especially from celebrated artists, has historically shown substantial long-term returns. While the art market can be less predictable than traditional assets, the potential for high returns, especially from iconic pieces, is undeniable. It’s an enticing proposition for those who have patience and an appreciation for art.

Yieldstreet, with its multifaceted offerings, presents potential investors with a varied landscape of returns. Historical returns, whether from real estate investments or venture capital, provide a roadmap of what to expect. It’s a platform that showcases its performance, giving both retail and active investors a clearer picture of potential gains.

Factor 5: Platform Features and User Experience

Masterworks provides an immersive experience for art aficionados, complete with artificial intelligence insights.

  • Yieldstreet offers a comprehensive platform that encompasses various alternative assets, bolstered by a mobile app.
  • Masterworks takes the edge here, offering a specialized, tech-infused platform for art enthusiasts.

Masterworks has crafted a platform that’s not just about investing; it’s about experiencing art. With tools that utilize artificial intelligence, investors get insights into art pieces, their potential appreciation, and the broader art market. The platform’s design and features are tailored to make every user feel like an art connoisseur, offering a unique blend of technology and art appreciation.

Yieldstreet, while comprehensive, takes a more general approach. Its platform is designed to cater to a wide range of alternative asset classes, and while it’s feature-rich, it may lack the specialized touch that Masterworks offers. The addition of a mobile app is commendable, allowing investors access to their portfolios on the go, but in terms of sheer immersive experience, Masterworks shines brighter.

The Verdict

It’s been a neck-to-neck race. Both platforms shine in their unique ways, be it Masterworks with its art-centric approach or Yieldstreet with its diversified offerings. Yet, when the dust settles, Masterworks takes a slight edge for those deeply passionate about art investing. Its focused approach to art investments makes it stand out, ensuring investors not just an investment, but a piece of history.

However, for those who crave a mixed bag, Yieldstreet remains one of the best. With its plethora of offerings, it’s the go-to platform for those seeking a diversified investment portfolio.

Ready to venture into the world of alternative investments? Take your pick. Click here to dive deep into Masterworks, or go here to spread your wings with Yieldstreet.

Learn More About Masterworks

Learn More About Yieldstreet

Jeremy Biberdorf

About the Author:

Jeremy Biberdorf is the founder of Modest Money. He’s a father of 2 beautiful girls, a dog owner, a long-time online entrepreneur and an investing enthusiast.