Apex Fintech Solutions launched its new fixed-income investing platform through which everyday retail investors will be able to directly invest in fixed income through fractional corporate bonds and treasuries.
This is contrary to the traditional methods where fixed-income investing usually requires larger investments.
The offering, due to launch in 2023, is developed in collaboration with Moment Technology, and the platform enables fintechs to extend an easier, low-cost, fractional fixed-income investing experience for their clients.
The new platform will enable investors to purchase small denominations of bonds, like buying fractional shares of stocks.
Despite rising bond yields, investors are unable to reap the benefits due to industry and structural barriers.
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“There is no reason that the average investor should be left on the sidelines when it comes to fixed income. Our entire mission at Apex is to democratize investing which is why we knew we had to clear an easier path for retail investors to fixed income," Apex CEO Bill Capuzzi said.
"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.”
The earlier fixed-income markets were dominated by large market participants, which meant large trade sizes, higher minimum investments, pricing capacity and dealer-to-dealer relationships. Apex’s offering will change this scenario.
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