Rally Rd.
The investments of the rich, now available to all
Start new thread

Rally Rd. - Invest in blue-chip classic cars like stocks

by
•

On Rally Rd. you can invest in blue-chip classic cars, starting at about $40 per share. Users can purchase equity in classic cars, hand-selected by a team of industry experts and securitized (turned into stock in a company) so a new breed of enthusiasts can now participate in this exciting alternative asset class.

Add a comment

Replies

Best
This is really interesting. Right away after playing with it seems like Kickstarter. My questions are: Once it’s funded 100% is there physical car that will be housed somewhere? If the car is sold how do I get a return on my investment? Does this mean I can find a Rolls Royce Phantom on eBay Motors. Negotiate a deal with the seller. Then submit the Phantom to RallyRd, in hopes that the users will fund the purchase of the vehicle. More questions to come 🧐
Maker
thanks for checking it out! The cars in the app right now are in the Initial Offering phase, so the shares are being sold for the first time - the “goal” price represents the total value of the vehicle. The vehicles are securely stored in our purpose-built, climate-controlled east coast facility. They are monitored by trained professionals + full time concierges and are kept under 24/7 video surveillance (which will be surfaced into the app). Once fully funded, if you bought shares you now own equity in that specific car. If its value rises, so should the value of your shares. If it earns more money than it costs to operate through events & the experiential components of the platform, you can get paid dividends. If an offer comes in to purchase the vehicle at a significant premium, its our fiduciary responsibility to make our investors money, so everyone gets paid out. However, we have Trading Windows attached to the platform once a month that will allow you to place your shares up for sale to other new & existing investors, so you don’t necessarily have to wait for an exit to sell. As for submitting vehicles, we have an expert team of in-house acquisition specialists and advisors that source vehicles based on a pretty specific checklist, so we try to stay away from the Phantom situation you outlined. There are well known collectors and brokers who will approach us with great assets however, and if we can get the best possible deal for investors, then we do consider those vehicles. Feel free to Ask away!- this is a new concept so we invite ANY questions about the business and the platform. 🙌🙌
Maker
Thanks for the hunt !! 🙌 🙌 Over the last year at Rally Rd., we’ve been building out a structure, both on the regulatory & product side, to allow everyone the same investment opportunities as the 1% - but without the velvet ropes, secret clubs, share minimums, condescending conversations, etc etc (the bad stuff). Our first iteration focuses on investments in Classic Cars with a history of strong returns, along with a bid/ask secondary market opening early 2018, all surfaced within the app. More than happy to answer any questions about the product, the company, or the asset class!
Hunter
🙌🙌🙌
I signed up about a month ago and manage to fund one credit but now I can't login to my account.
Maker
apologies on that, we are handling some server updates that were affecting logins for a subset of accounts. We will be back up shortly. Drop me a note () if the issue doesn’t resolve itself within the next couple of hours as we roll out the backend update.
Brilliant product! I will use it for sure. :) Be sure to check out our tool , it will be very interesting to you.
Hunter
This is awesome – thanks for the heads up! On Rally Rd. you can purchase equity in classic cars like Ferraris, Porsches, etc. as if they were stocks. This is a very interesting alternative asset class, that is now accessible to the masses. cc you will like this
, congrats, this looks really interesting! A few questions for you: 1. Not knowing anything with regards to investing in collectible vehicles, at what rate can I expect my investment to grow (say annually)? 2. I imagine this is the type of investment that is probably first as a casualty when it comes to economic down turn as the liquidity is tied to collectors, a somewhat luxurious hobby. Is that accurate? 3. While buy-in is low, do you think you'll have enough participants to create some liquidity in your planned exchange? How do you plan on solving the chicken and egg issue here? Looking forward to reading your thoughts and congrats on the progress!
Maker
Hi Zev! All good questions- 1) We aren’t a fund, so we try to steer clear of forward statements, but I can say that this particular asset class has shown outsized returns over the last decade, especially in comparison to other tangible assets (including real estate). The professional indexes that track classic cars of this caliber (Knight Frank, Hagerty, etc) publish 400%+ returns over the last decade. All assets move at their own pace though. An ’82 Lamborghini Countach was a $150,000 car before Wolf of Wall Street. 4 months after the movie came out it was $375k, and everyone wanted a white one, so it varies. 2) In downturns, everything tends to get affected, but classic cars actually made one of the least dramatic moves during the 08/09 financial crisis. What we saw during that period was that classic cars and assets with nostalgic or emotional connections to their owners tended to be the last thing to get liquidated. It’s really treated like art and we intend to handle the assets the same way. 3) We think that retail level buy-in helps with liquidity. We are seeing a lot of share purchases in the single digits, as we intended to with this platform, which we think will be very beneficial to the secondary market. We also put our company shares in the hands of broker-dealers to ensure that if liquidity is needed in a worst case scenario, it can provided. The Trading Windows are starting as once monthly, as opposed to continuous, and we are giving ourselves 3 months between close of the Initial Offering and that Trading Window to give the asset some time to mature and give ourselves some time to build the member base and build investor interest around the asset. Hopefully that answers the questions, apologies on the essay!
Congratulations ! I remember when you explained me the concept a few months ago. Great to see you guys launching 🙌
Maker
Thanks Manuel! Likewise, great to see all the awesome new products coming out of the Maître suite!
This is really interesting. As a classic car enthusiast, I love the idea of having the opportunity to own (even just a tiny bit) of a classic Porsche and other exciting cars. I follow the market closely and this is a perfect way for me to get involved at this stage in my life.
Maker
as a group of 30-something’s who watched this space become completely unaffordable, we concur!
Very interesting! Too bad it’s available to the US only!

Great service

Pros:

Great on-boarding, intuitive and beautiful design.

Cons:

Not enough cars to invest in yet

As a car enthusiast, this looks intriguing. The price to own a rare or highly desired collector car can be quite high. So this definitely presents an alternative for those of us who don't have the means! Do you plan on launching an Android app? Also, when do you think the web portal/dashboard will be live?
Maker
same thoughts on the market from our end- that’s exactly where the idea came from 🙌 The web-app should be out early 2018 with Android to follow.
Love the design and great on-boarding experience - excited to see the progress Rally Rd. makes!
Maker
really appreciate it Max! We’re excited to show you what we have lined up for 2018!
12
Next