Finally, the tools you need to manage your clients' private company wealth
With Collective's unique wealth management solutions, you can turn your clients' illiquid private company shares into a smart, long-term financial plan
Schedule a callDiversify clients tax-free
- Diversify clients' over-concentrated positions in venture-backed companies by exchanging into portfolio of similar companies
- Exchanges do not trigger capital gains tax; tax savings compound in the fund at venture rates of return
- Professionally managed transactions supported by issuers
Generate client liquidity
- Non-recourse loans secured by interest in Fund can generate more after-tax liquidity than a stock sale
- Instantly price shares of late-stage, venture-backed companies
- Avoid lengthy, bespoke negotiations with multiple buyer in brokered sale transactions
Deploy other advanced strategies
- Finance clients' exercise of stock options
- Use private company shares to create Donor Advised Funds
- Use private company shares to form Charitable Remainder Trusts
What is Collective Liquidity?
Collective Liquidity is a new wealth management solutions platform for the private market. We work with financial advisors and their clients to translate their shares and options in venture-backed private companies into a liquid, diversified portfolio. Clients can also use their shares to leverage charitable solutions generating immediate tax savings and a lifetime of cash distributions.
How does Collective work with advisors?
Collective provides advisors with unique solutions to their clients' financial needs. We assign a dedicated relationship manager to each advisor to ensure they can obtain the full benefit of all we have to offer for their clients. Our advisor's portal give advisors continuous, real time visibility into their client's Collective account, access to our valuations and tools to model client outcomes from our different solutions.
How does the Exchange Fund enable Collective's solutions?
Employees of selected private growth companies exchange shares on a tax deferred basis for a limited partnership interest in Collective's diversified portfolio of leading private companies. The resulting diversification immediately reduces the employee's risk. The partnership interest can be monetized immediately through a non-recourse, high LTV loan or, after a holding period, be redeemed for cash. The partnership interest can also be contributed to a Donor Advised Fund or a Charitable Remainder Trust to create tax savings, lifetime income streams and charitable giving.
The tools your clients need to free their wealth
At Collective, your clients' shares unlock these wealth management strategies
Risk Reduction
Exchange Fund
Risk Reduction
Exchange Fund
Exchange your shares tax-free into the Exchange Fund, a diversified portfolio of leading venture-backed companies
Liquidity
Exchange Loan*
Liquidity
Exchange Loan*
Access cash on demand with a non-recourse Exchange Loan
Option Exercise
Option Exercise Loan*
Option Exercise
Option Exercise Loan*
Finance the exercise of your clients stock options today
Lifetime Income
Charitable Remainder Trust
Lifetime Income
Charitable Remainder Trust
Grow your clients’ assets tax-free and create annual cash distributions
Tax Savings
Donor Advised Fund
Tax Savings
Donor Advised Fund
Generate immediate tax savings for clients by using shares to fund donations
Eligible Companies For Exchange (Late-Stage Fund)
Let's get in touch to learn more
Schedule a callFinancial Advisor FAQs
The list of companies whose shares are eligible for exchange can be viewed here. These companies are selected by Collective’s Investment Committee. The Investment Committee considers a number of factors in its review of candidate companies, including valuation at its most recent primary financing, backing by recognized venture capital firms and the Committee’s assessment of a company’s overall risk-reward profile.
Collective will soon be enabling financial advisors with view only access to their client’s accounts. Contact us here if you would like early access to this feature.
Collective funds are custodied on most major platforms such as Schwab and Pershing.
Contact us here for more information.
Collective uses a proprietary algorithm to price shares for exchange into the Fund. The algorithm uses a variety of pricing signals, including primary financing information and secondary market trades and bids and asks, to estimate the market clearing price for the shares at a particular point in time.
Collective is managed by experienced private market founders, operators and venture capitalists. You can learn more about our team here.
Helpful Documents & Articles
To learn more, visit our Knowledge Center
Knowledge CenterLeverage our free online tools
Valuation Tool
Collective analyzes and integrates thousands of private market pricing signals to instantly value your clients' shares.
Value your client's shares
Liquidity Estimator
Compare the after-tax liquidity from an Exchange Loan to a stock sale with our Liquidity Estimator.
Liquidity Estimator
Donor Advised Fund Estimator
Estimate your clients' tax savings when they use their private company shares to open a DAF
Estimate tax savings
Charitable Remainder Trust Estimator
Estimate your clients' distributions and tax savings when they use their private company shares to start a CRT
Liquidity Estimator
Your Client's Dashboard
Your clients' Collective dashboard provides information about their Collective wealth management solutions and suggestions on how to further reduce risk, access liquidity, minimize taxes and build long-term wealth.
