Category Archives: iCapital Network

iCapital Network acquires Wells Fargo alternative investments feeder fund platform

iCapital Network acquires Wells Fargo alternative investments feeder fund platform

June 18, 2020 | WealthAdvisor

As a part of the transaction, Wells Fargo is making a strategic investment in iCapital under the terms of iCapital’s latest fundraising round.

Wells Fargo’s alternative investment feeder fund platform supports a full suite of alternative solutions, including private equity, private debt, hedge funds, private real estate and direct private investments across approximately 70 investment vehicles. Last month, iCapital announced its agreement to acquire the Artivest platform and operating businesses. Upon completion of both transactions, iCapital’s platform will service nearly USD58 billion in client assets across more than 720 funds, 120,000 underlying accounts, and more than 70 white label partners.
 
“We are enormously excited to forge this partnership with Wells Fargo as another important milestone on our mission to create the industry standard technology solution for private investments,” says Lawrence Calcano, Chairman and Chief Executive Officer of iCapital Network. “This agreement is emblematic of the great strides we have made to provide greater access, efficiency and transparency for the wealth management community seeking alternative investing strategies for their high-net-worth clients.”
 
Darrell Cronk, president of Wells Fargo Investment Institute, says: “We are pleased to partner with iCapital to deliver alternative investments to enhance the experience for our advisors and clients. This transaction will allow us to continue to provide innovative alternative investment solutions to our clients as well as upgrade the overall platform and launch new offerings.”
 
iCapital’s white-label technology will be leveraged to streamline and automate ongoing operations and fund administration services for Wells Fargo’s alternative investment feeder funds. It will also provide best-in-class support to Wells Fargo’s advisors and their high-net-worth client base. As part of the transaction, iCapital will offer employment to a team of Wells Fargo employees who currently support operations for the GAI Feeder Fund Platform. The transitioning team will continue to support the fund portfolio to ensure continuity of service.

Equities Could Rally Further, but Alternatives May Be Preferable

Equities Could Rally Further, but Alternatives May Be Preferable

May 13, 2020 | Jospeh Burns | iCapital Network

A comparison of equity market performance today and after the Lehman bankruptcy suggests talk of a market recovery may be premature.

Following a month when the S&P 500 Index had its best return in over three decades, many are wondering if we have safely returned to a directionally rising, risk-on market in U.S. equities. The velocity of the rally has been tremendous, dating back to late March and including the “strongest 3-day percentage increase since 1931”1. Still, even after the market upturn, most equity indices remain in negative territory for the year, down (10%-20%) year to date.
 
Much has been written about how the market decline, precipitated by the deadly COVID-19 pandemic, is unlike the global financial crisis of 2008. While the primary causes behind the steep equity losses in both 2008 and 2020 are very different, the immediate effect on the S&P 500 Index was actually quite similar:…

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iCapital Network® Acquires Artivest

iCapital Network® Acquires Artivest

Enhances private market investing opportunities for advisors and their high-net-worth clients

May 14, 2020

With their latest acquisition, iCapital will service more than $55 billion in client assets, solidifying global position as leading financial technology platform offering private equity, private credit, hedge funds, and other alternative investments

iCapital Network1, the leading financial technology platform driving access and efficiency in alternative investing for the asset and wealth management industries, and Artivest, one of the most innovative technology companies for accessing and investing in alternatives, today announced that they have entered into a definitive agreement under which iCapital will acquire the Artivest platform and operating businesses.

Under the terms of the agreement, iCapital will purchase the majority of Artivest’s assets, including all technology and its operating platform. The transaction also includes management of Artivest’s 28 proprietary alternative investment funds, along with several large enterprise relationships and Artivest’s ‘Open Network’ platform, which offers a menu of alternative products and strategies to approximately 1,800 financial advisors and their high-net-worth investors. As part of the transaction, 28 Artivest team members are expected to join iCapital.

Following the close of this transaction, iCapital will service more than $55 billion in client assets across approximately 650 funds, 115,000 underlying accounts, and more than 70 white label partners. The acquisition will create further operational economies of scale in the offering and servicing of alternative investments and additional benefits for both Artivest and iCapital clients and partners.

“Given our shared mission to facilitate meaningful alternative investing opportunities across the wealth and asset management spectrum, this acquisition was compelling for a number of reasons,” said Lawrence Calcano, Chairman and Chief Executive Officer of iCapital Network. “We have long admired Artivest’s technical innovations and capabilities in registered funds and direct investments, and the strength of their team. The integration of these attributes with iCapital’s already robust platform and product offerings creates a powerful combination delivering a ‘best-in-breed’ technology experience while also presenting new platform partners and strategies to our respective clients.”

“We are pleased to reach an agreement with iCapital, which is well positioned to deliver the quality and continuity of client experience that is central to Artivest’s offering,” said Martin Beaulieu, Chairman and Chief Executive Officer of Artivest. “We are confident that iCapital is the right service provider for our managers, advisors, and their clients.”

KKR is expected to convert its current holdings in Artivest into equity shares of iCapital. On March 23, 2020, iCapital announced its most recent funding round led by Ping An Global Voyager Fund which also included commitments from strategic partners and investors: Goldman Sachs, Affiliated Managers Group, Hamilton Lane, WestCap, BlackRock, UBS Financial Services, Inc., Blackstone, and BNY Mellon.

Additional existing strategic partners and investors in iCapital include The Carlyle Group, Credit Suisse, JPMorgan Chase & Co, and Morgan Stanley Investment Management.

Artivest Holdings, Inc., will continue to manage the legacy Altegris mutual fund business, as well as commodity pools that are not included in the transaction with iCapital. These vehicles will be overseen by Altegris Advisors, the existing portfolio management team, and related operational staff to ensure continuity post transaction.

iCapital’s platform is purpose-built to provide an end-to-end technology solution that is fully configurable, integrated, highly scalable, and able to support the unique subscription, administration, and reporting processes for private equity, private credit, hedge funds, and other alternative investments. It addresses many of the longstanding challenges of investing in alternatives by using technology to streamline access, ease operational burdens, and improve the user experience. The platform is designed to meet the continually evolving needs of all industry participants: the advisors who need simplified, tech-enabled investment processes to help incorporate alternative investments in their clients’ portfolios; the asset managers looking to scale their fundraising efforts; and the wealth management firms seeking a technology platform to enhance or replace existing systems.

Terms of the agreement were not disclosed. PJT Partners LP served as financial advisor and Ropes & Gray LLP served as legal advisor to iCapital Network. RBC Capital Markets served as financial advisor and Morrison & Foerster LLP served as legal advisor to Artivest.

About iCapital Network

iCapital Network’s mission is to power the world’s alternative investment marketplace. Its financial technology platform has transformed the way alternative investments are bought and sold through the development of tech-based solutions for advisors, their high-net-worth client base, asset managers, and banks. The firm’s flagship platform offers advisors and their clients access to a curated menu of private equity and hedge funds at lower minimums with a full suite of due diligence and administrative support in a secure digital environment. Asset managers and banks leverage iCapital Network’s tech-enabled services to streamline and scale their private investments operational infrastructure. iCapital was recognized in the 2018, 2019, and 2020 Forbes FinTech 50 which highlights the top 50 innovative financial technology companies that are transforming finance through technology. As of April 30, 2020, iCapital Network services more than $51 billion in client assets across more than 100,000 underlying accounts.

For additional information, please visit iCapital Network’s website at www.icapitalnetwork.com | LinkedIn: https://www.linkedin.com/company/icapital-network-inc | Twitter: @icapitalnetwork

About Artivest

Artivest is transforming the way financial advisors and high net worth investors access, evaluate, and invest in private equity, real assets, and hedge funds. Our platform delivers a streamlined digital experience for investors to transact directly with a wide selection of high-quality private alternatives, at sensible minimums. Run by accomplished fintech and investment industry executives in New York and California, Artivest is privately held by its employees and outside investors including Aquiline Capital Partners, Genstar Capital, KKR, and Thiel Capital.

Source:  Yahoo!Finance

iCapital Network® Completes $146 million Capital Raise to Build Global Powerhouse for Alternative Investing

iCapital Network® Completes $146 million Capital Raise to Build Global Powerhouse for Alternative Investing

March 23, 2020

NEW YORK, NY – (BUSINESS WIRE) – iCapital Network®, the financial technology platform leading the industry in driving access and efficiency in alternative investing, today announced it closed a $146 million capital raise to fuel its future growth. Ping An Global Voyager Fund (“Ping An”) led the round, joined by new investors Goldman Sachs (NYSE: GS), Affiliated Managers Group (NYSE: AMG), Hamilton Lane (NASDAQ: HLNE) and WestCap. Additional commitments came from existing investors BlackRock (NYSE: BLK), UBS Financial Services, Inc. (NYSE: UBS), Blackstone (NYSE: BX) and BNY Mellon (NYSE: BK).

Through this financing, iCapital has built a strong balance sheet and capital base from which to operate as an independent company. This funding will allow the Company to enhance its platform technology and expand functionality in support of its existing clients and continued growth, a diversified slate of investment offerings and a globalized investor base. In addition, the funding will support iCapital’s continued commitment to the international marketplace as it solidifies relationships with partners across North America, Asia, Europe and the Middle East. iCapital will further its commitment to market education and build its team to help scale and improve upon the high-quality services and technical innovations it provides to clients.

Additional existing strategic partners and investors in iCapital include The Carlyle Group (NASDAQ: CG), Credit Suisse, JPMorgan Chase & Co (NYSE: JPM) and Morgan Stanley Investment Management (NYSE: MS).

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An Influential Fintech Line-Up to Advance New “AltsTech Forum”

An Influential Fintech Line-Up to Advance New “AltsTech Forum”

December 4, 2019 | Blue Vault staff writer

Technology is quickly changing the landscape for wealth advisors who use alternative investments. To truly understand what best-in-class technology has to offer the alternatives investing space, Blue Vault is extremely pleased to add an AltsTech Forum to next year’s sixth annual Blue Vault Bowman Alts Summit.

With an all-star line-up of technology providers already committed to attend* and more on the way, agendas are currently being developed that will break down and prioritize the discussion to the real heart of the issue, which is to create building blocks to advance solutions for wealth advisors needing help with more efficient ways to process alts investments.

Blue Vault is very pleased to have Angie Fisher of CIM Group lead a team of technology specialists to create the value-packed AltsTech Forum agenda.  Securities attorney Kirk Montgomery, KAM, and technology experts Amber Wallner of Black Creek Group and Jeff LaFayette of Bluerock are collaborating with Fisher to tap into the fundamental issues needing to be addressed.

What can you expect? The industry’s most advanced technology professionals have committed to attend and participate by giving presentations and demonstrations about how their tech platforms are delivering real results, making efficiency a top priority.  There will be panel discussions to address the various issues, as well as challenges, currently needing solutions.  The providers will also be exhibiting to further showcase their solutions and answer questions for attendees.    
 
The AltsTech Forum will be running simultaneously but separately with the traditional product presentation sessions.  Creating dialogue with industry peers and advancing the discussion to find solutions is the purpose of the Forum. 
 
“We think this dual track creates a much richer environment for the attendees,” said Stacy Chitty, Blue Vault managing partner. “While product presentations are being delivered in one room, tech solutions will be advanced in the other.  We’re excited about the participation commitments we’ve received so far.  While technology has lagged in the alts space in the past, technology cannot be ignored or lag anymore.”
 
Stay-tuned as we continue to roll out the details of the AltsTech Forum. Follow the latest event happenings via the hashtag #AltsSummit2020.

*As of December 4, the following professional services providers have committed to attend and exhibit at the Summit: AIX, Artivest, Boing Dynamics, BNY Mellon/Pershing, Centersky, Docupace, Envision Financial Systems, iCapital, Riskalyze, SS&C /ALPS, and WealthForge.

In case you missed it, Blue Vault recently hosted a webinar titled, “How is Technology advancing Alternative Investments?” Moderated by Angie Fisher of CIM Group, panelists included Mike Huisman of Envision Financial Systems, Inc., Michael Page of Riskalyze, and Kevin Zwick of WealthForge. To visit that one-hour webinar, click here.