Oh, man. Now things are getting interesting.
Banking giant Morgan Stanley just dropped an estimated $1 billion to change the game.
Not to be outdone, leading broker Charles Schwab ponied up $660 million.
So today I’ll explain:
- What these giants spent so much money on.
- What it means for you.
- And most importantly, how to get in on the action yourself.
Let’s dive in.
The Private-Market Playground
For decades now, Wall Street’s had a magical playground all to itself — a place where fortunes were made long before companies reached the public markets.
That playground is the private markets, where investors get access to high-potential startups and pre-IPO companies.
Historically, unless you were a professional investor or a wealthy angel, you weren’t invited in.
But something big just happened…
And now everything is changing.
Wall Street’s New Land Grab
Did you see the news?
Morgan Stanley just announced that it’s acquiring EquityZen, an online marketplace for shares of private companies. On such platforms, qualified investors can buy and sell shares of fast-growing “unicorns” like SpaceX, xAI, or OpenAI — before they go public.
Morgan didn’t disclose the deal price. But sources suggest it could be $700 million to $1 billion.
Not to be outdone, Charles Schwab responded by paying $660 million to scoop up Forge, a competitor to EquityZen.
These weren’t random moves. These are strong signals about the future of investing.
For about a decade now, platforms like EquityZen and Forge have operated on the fringe of mainstream finance, connecting accredited investors with employees or early backers of these unicorns who wanted to cash out some of their private-company stock.
But with these acquisitions, Wall Street’s biggest firms are planting their flag in the private markets. They’re saying, “This is where the future is.”
Why It Matters
Let’s unpack what this means.
When you buy or sell shares of stock on the New York Stock Exchange or the Nasdaq, that’s a public transaction. This market is heavily regulated, highly liquid, and open to all.
The private markets are different. Historically, they’ve been more like an exclusive country club: hard to get into, opaque, and limited to the wealthy.
But that’s changing — and now it’s changing fast.
By acquiring these secondary platforms and plugging them into their vast infrastructure, Morgan Stanley and Schwab are building the pipes for a new kind of investment world…
One where it’s not just venture capitalists or wealthy angels who can own early stakes in breakout companies like SpaceX, Stripe, or OpenAI — but regular investors, too.
The Upside
For investors like you, this could potentially be great news. It means:
- Deeper markets and better liquidity: When large institutions plug into the system, more buyers and sellers participate. That means more opportunities to trade private shares.
- Reduced risk of impropriety: Big firms bring compliance, oversight, and audit trails. That could make the system cleaner and more transparent.
- Broader acceptance by private companies: As liquidity options expand, more startups will run secondary programs for their employees and investors — giving everyday investors like you more chances to participate in exciting, high-quality deals.
In short, this new world could finally make the private markets safer, more liquid, and more accessible than ever before.
Not So Fast…
Of course, there’s another side to the story.
Whenever Wall Street gets its dirty little paws involved, the velvet rope tends to go up — and conflicts of interest tend to present themselves.
For example, the biggest clients of these firms will likely get first dibs on the best deals. Minimum investments could rise. Fees could shoot up.
And perhaps scariest of all, how will you know if the “hot deal” these banks and brokers are trying to sell you is actually a good deal?
After all, if a pre-IPO company is an important client of a Wall Street bank, the bank might feel obligated to push a deal that’s good for its client — and bad for investors like you.
Remember, private shares don’t trade on open exchanges, so pricing and deal terms can be murky. That’s why you’ll need education. You’ll need research that’s independent. You’ll need a trusted guide.
And that’s where we come in.
Crowdability’s Role
Ever since we launched Crowdability more than ten years ago, our mission has been to help investors like you learn about the private markets, to protect you, and to help you participate intelligently.
We track hundreds of private deals, platforms, and funds so you can separate signal from noise.
We’ve been here since the beginning — since the JOBS Act finally opened the doors to the private markets to everyday investors like you, and now, as private-company secondaries are finally going mainstream, too.
Each of these milestones brings us one step closer to financial inclusion — where the best-performing asset class in history is no longer reserved for the elite.
The Broader Trend
This movement towards financial inclusion has powerful tailwinds from Washington.
The current administration has proposed changes to the “accredited investor” definition, fixing the outdated wealth-test that’s long kept millions of capable investors locked out.
There’s also legislation in the works to allow alternative assets like private securities inside 401(k) plans and retirement plans.
In other words, access to private deals in the U.S. isn’t just expanding, it’s accelerating.
And smart investors are already dipping their toes in — learning how to evaluate private deals, how to spot red flags, and how to build a diversified startup portfolio like a professional.
The Bottom Line
Morgan Stanley and Schwab didn’t buy these platforms on a whim.
They understand where the world is heading: toward a future where private investments are as common as public stocks. And that’s good news for all of us.
But remember: new opportunities come with new complexities. So before you dive in, make sure you have the education and tools you need to succeed. That’s what we’re here for.
At Crowdability, our job is simple. To help you participate in pre-IPO investments intelligently — before everyone else catches on!
Happy Investing
Best Regards,
Founder
Crowdability.com
