Marisa Ricciardi’s Post

A big regret is not backing Altruist earlier. When I left my last firm, I called Jason Wenk to tell him I wanted to invest personally. That was at the Series D. Today, Altruist is announcing their Series E. The tech layer in wealth management is incredibly outdated. Most advisors can't offer digital onboarding (one example). Altruist replaces a suite of disconnected often offline interactions into a single integrated digital product suite. That results in a far better client experience and makes advisors' jobs much easier. Crucially, Altruist is also a custodian. That means they can fully integrate their tech to the asset level (again more control of stack => better client / advisor experience). It also means Altruist can monetize against AUM. RIAs control $114 trillion (yes trillion) in assets. Altruist still has more room to run than most other companies operating at scale because their end market is massive. AUM businesses can be great long term compounders. If you look at Charles Schwab for example it took - 1st 6 years to $1B in assets. - another 5y to $10B - another 8y to $100B - another 6y to $1 trillion In years 20 to 25, Schwabs hit $1 trillion in assets and their growth rate was FASTER than any other period in their history. Wealth world is skewed. The wealthiest control the most assets and are served by the largest RIAs. Today, Altruist is working predominantly with smaller RIAs (small is a relative term), but as they move up market they can conceivably accelerate growth. Growth rates regress to the mean for most business pretty quickly. I think wealth world is one of the few places you can sustain exceptional growth rates for a long time. Wealth businesses done right are not just great long term compounders, they are also incredible cash machines. Wall Street loves sticky recurring revenue businesses. AUM businesses are very sticky and very recurring. AUM businesses can also operate at great margin. Schwab runs on outdated tech and has huge ops teams. Still they operate at 45% EBITDA margin. Wealthfront runs on modern tech is <1/20th the scale of Schwab has recently advertised their margins already meet or exceed Schwabs (you can guess that as they scale the incremental GM is very very high!). There is no reason Altruist can't also have incredible gross margins at scale. I have a lot more to say (I'm also very excited about the product roadmap which will further improve client experience + add new monetization), but I've written a bit too much already. Congrats to the Altruist team on the raise and here's to a great next 20 years!

Many people new to being skeptical about the #tech industry need to put on their critical thinking hats. If you know you are hurting humanity at scale, impoverishing blue collar workers, creating homelessness in the style of a James Bond villain intentionally, then yes, a #bunker to protect yourself makes logical sense. It isn't inventible that we let #startups #vcs #bigtech destroy planet earth. #openai #llms #aiethics #ycombinator

Check out this impressive cohort of founders and their organizations participating in WMNfintech!!

At Ambit, we spend a lot of time reading articles that cover a wide gamut of topics, ranging from zeitgeist to futuristic, and encapsulate them in our weekly ‘Ten Interesting Things’ product. Some fascinating topics this week: Leadership (Leave no one behind), Sports (Lessons from a 5-day, 40-hour game), Parenting (Reparent yourself to have difficult conversations with parents) and Technology (The impact of AI and advanced tech on civilization and the future of humans). 1.    No one left behind [Source: Admired Leadership Field Notes] A commitment maintained by American military leaders stands true for the corporate world as well   2.    Are you willing to pay the hidden cost of success? [Source: Psychology Today] Here's why success often makes people miserable   3.    Five ways you managed to lose money in 2023 [Source: Downtown Josh Brown] You were a special case if you lost money in 2023   4.    How to instill an own it mentality [Source: Write of Passage] You will be amazed by the changes you see as you start to instill an Own It Mentality   5.    Why a 5-day, 40-hour game is worth watching and what does its future look like? [Source: Nikhil’s Substack] An ode to a lifelong love of Test Cricket   6.    Reparent yourself to have difficult conversations with parents [Source: Ved’s Substack] Learning to stay centered and calm in conversations with parents   7.    The coming wave examines the impact of AI and advanced tech on civilization and the future of humans [Source: yourstory.com] Arguing for containment of AI expansion while explaining its many benefits for our world   8.    There's no such thing as a fresh start [Source: Oliver Burkeman] It is a terrible mindset for actually making lasting changes   9.    Raising money from investors is hard. Returning it is even harder [Source: The Ken] Meet five founders who shut their companies in 2023 and chose to return money at a time when fundraising has been hard   10.  There will be pointless action in climate tech [Source: The Morning Context] The sector might be hot right now, but the deep-rooted problem of climate change will take a long time to make any impact

"Steward-ownership is a great example of how, with a few simple changes in how companies are structured and governed, we can get the benefits of capitalism without its downsides. To use Silicon Valley terminology: steward-ownership is capitalism 2.0." https://lnkd.in/dC3VN-hV #stewardownership #capitalism20 #impactventures #venturecapital

To many colleagues that had the fortune and misfortune of raising money in 2021, I found this Fortune article (no pun intended) about "Unicorpses" fascinating. Sadly many that raised money at high multiples during this period, might be facing a down round with true-up dilution or worse. My advice to the AI Unicorns; focus on what drives client productivity and stay the course. The one positive is that US markets (private and public) have short memories. The AI bull market, is not based on hype, but arguably the greatest expansion of productivity capitalism has ever experienced. Early stage AI companies will grow into (and beyond) the valuations of 2021. Focus and be patient. https://lnkd.in/gPNrdJ7p

How do we ensure that we harness #AI to accelerate and facilitate a just transition in our societies? In our latest article, Nick Kind unravels the transformative landscape of AI and our future. Discover the challenges and opportunities at the intersection of impact investing, philanthropy, and the rapid pace of AI innovation. Article from: Nick Kind Learn more: #TheComingWave #AIInnovation #FutureThinking #ImpactInsights #TytonPartners #EducationForChange #2024Challenge #PhilanthropicInnovation

A big shoutout to Paxton AI's investors, Ary Vaidya, Linus Liang, and the team of Kyber Knight Capital for having been recognized as rising stars in Business Insider! Well-deserved recognition! Their contribution, especially in leading Paxton AI's $6 million seed round earlier this fall, has been instrumental in our growth and development. It's a privilege to be part of their impressive portfolio and witness the transformative impact they bring to the legal tech landscape. Read more about their journey and Paxton AI's mention in the Business Insider article (subscription required). #BusinessInsider #InvestorSuccess #PaxtonAI #LegalTech #SeedFunding #RisingStars

Tether.to Ventures into Mind-Blowing Territory! Tether, the powerhouse behind the USDT stablecoin, is making waves once again with a groundbreaking $200 million investment. But this time, it's not just about crypto—it's about tapping into the future of human-machine interaction. 🔌 Bridging Minds and Machines In a move that's turning heads across industries, Tether has acquired a majority stake in Blackrock Neurotech, a trailblazing brain-computer interface company. This strategic investment marks a bold step for Tether Evo, the venture capital arm aiming to blur the lines between humanity and technology. 🎉 Tether Secures Dominance in Blackrock Neurotech Hot off the press: Tether's announcement on April 29 shook the tech world as it revealed its newfound control over Blackrock Neurotech. With $200 million injected through Tether Evo, the company is now steering the ship towards pioneering medical solutions driven by brainpower. 🌐 Evolving Beyond Stablecoins Paolo A., the visionary CEO of Tether, sees this move as just the beginning. By venturing into projects like Blackrock Neurotech, Tether Evo aims to redefine how we interact with technology. This investment isn't just about profits—it's about propelling humanity forward with innovation. ⚕️ Revolutionizing Healthcare Blackrock Neurotech isn't just another tech company—it's a beacon of hope for those affected by neurological disorders and paralysis. Powered by brain signals, their medical devices promise a future where limitations are shattered, and possibilities are endless. 💡 The Future is Now As Tether expands its horizons beyond stablecoins, it's clear that they're not just shaping the crypto landscape—they're shaping the future itself. With Tether Evo leading the charge, we're witnessing the dawn of a new era, where the fusion of human potential and technological prowess knows no bounds. 🌟 Join the Journey Are you ready to embark on this incredible journey of innovation and transformation? Stay tuned as Tether and Blackrock Neurotech pave the way towards a future where minds meet machines, and miracles become reality. #TetherEvo #BlackrockNeurotech #MindOverMatter

Circle of life: I started my career in financial services in Washington, DC. After 25 years, the circle closed. This week, I joined Grassroots Analytics in service to Grassroots Analytics Capital Raise...in Washington, DC. No other company could combine my three careers: financial services, tech entrepreneurship, and progressive political campaigns...and bring me back to Washington.   Grassroots Analytics Capital Raise facilitates access to capital for underrepresented founders and causes, while capitalizing on the untapped nature of the market. It built and maintains a forward-thinking American investor database, then facilitates investment in values-oriented funds and companies by connecting them with cause-driven investors.   I would love to connect you with Grassroots Analytics Capital Raise, if you are:   A founder (of a US company…sorry European friends) raising pre-seed to Series A, or An investor interested in socially responsible companies in athletics, climate, education, environment, healthcare, labor organizing, political technology, veterans, or voting rights.