The rise of retail investors in secondaries, and why delayed IPOs will become the norm

Retail investors are increasingly shaping the secondary market. In Q4 2024, platforms like EquityZen reported that 86% of total transaction volume came from retail participants—an eye-catching shift as tools like Forge and EquityZen promise broader access to private shares.

But does more access mean more opportunity, or more risk? Today on Equity, Rebecca Bellan is joined by Jared Carmel of Manhattan Venture Partners to dig into what he calls a “once-in-a-generation opportunity” in secondaries, why he’s not crazy about the increase of retail investors, and how secondaries provide a “pressure relief valve” that could keep startups private well past their startup years.

Listen to the full episode to hear more about:

• How MVP has worked to “institutionalize” secondaries out of the Wild West of investing. 
• Why “informational asymmetry” makes some secondary offerings a raw deal for retail investors. 
• How a sluggish IPO market is catalyzing a robust secondaries market that creates a liquidity flywheel for VC.
• And Jared’s prediction that in a few years, the secondaries feedback loop will delay IPOs up to 20 years. 

Equity is Tech Zone Daily’s flagship podcast, produced by Theresa Loconsolo, and posts every Wednesday and Friday. 

Subscribe to us on Apple Podcasts, Overcast, Spotify and all the casts. You also can follow Equity on X and Threads, at @EquityPod. For the full episode transcript, for those who prefer reading over listening, check out our full archive of episodes here.