Yahoo has acquired social investing platform, Commonstock. Terms were not disclosed.
The acquisition will bring investor insights to the company’s Yahoo Finance brand.
Launched in 1997, Yahoo Finance has more than 150 million monthly users.
Yahoo has acquired Commonstock, a San Francisco, California-based social investing network. Terms of the acquisition were not disclosed.
Yahoo Finance president Tapan Bhat said that the purchase would help create a “singular destination for all our customer’s financial needs.” He praised Commonstock for creating a “trusted community” and for “sharing high-quality insights and knowledge that help everyday investors create wealth.”
Specifically, the acquisition will add investor insights to the Yahoo Finance platform. Commonstock offers a social network, integrated with brokerages, where retail investors and traders can discuss trading and investing strategies, portfolio performance, and more. Commonstock provides features such as real-time alerts to let users know when investors they are following are making trades. This helps facilitate the exchange of investment strategies, fostering a collaborative investing climate. The network has more than $10 billion in connected assets.
David McDonough, Commonstock founder and CEO, said the acquisition was an opportunity to “build community and products on the largest consumer finance stage.” Note that Yahoo Finance currently has more than 150 million monthly users. McDonough added, “This acquisition will allow us to accelerate our mission at scale, emphasizing community-driven knowledge and ensuring the amplification of quality insights to separate signal from noise.”
The acquisition was personal for McDonough, who said that Yahoo Finance made a major impact on his career trajectory. In his statement, he credited the company’s message boards for helping him learn about the stock market during the financial crisis. He said that the combination of Yahoo’s reach and Commonstock’s expertise would be a significant value for investors.
Launched in 2020, Commonstock has raised more than $34 million in funding. The company includes Coatue, QED, Floodgate, Upside Ventures, Resolute Ventures, and Abstract Ventures among its investors. Individual investors ranging from Bill Ackman and Ari Emanuel to Turner Novak and Jill Carson also have backed the startup.
Yahoo Finance offers free stock quotes, timely business news, and portfolio management resources. Additionally, the platform provides mortgage rate data and other information to help individuals better manage their finances. Launched in 1997, Yahoo Finance is among the top 20 largest news and media websites. The platform began covering cryptocurrencies and cryptocurrency news in 2017.
Photo by Anna Nekrashevich
