Clear Street pivots to pre-IPO trading with Databricks offering

Clear Street CEO Uri Cohen aims to dismantle the barriers surrounding private equity, noting that the bulk of modern wealth creation now occurs before a company hits the stock exchange. By managing asset servicing and risk internally, the brokerage intends to offer margin loans against these pre-IPO holdings—a feature rarely seen in the private secondary market. The platform plans to host up to 30 startups by year-end, focusing on tech firms valued between $5 billion and $20 billion that are nearing an IPO window.

To bridge the information gap, the firm is establishing a dedicated equity research division led by analyst Owen Lau. This move mirrors the transparency of public markets in an environment typically defined by opacity. Clear Street, valued at $12 billion earlier this year, remains cash-flow positive despite shelving its own IPO plans in February. Backed by a recent $400 million bond offering, the company is positioning itself for a potential public listing in 2027, provided market conditions stabilize.