Category Archives: AltsTech Announcements

A growing asset class: The US private debt market

A growing asset class: The US private debt market

August 2021 | UMB 

The private debt market has come into its own over the past decade. Once a small and obscure asset class, its profile was raised in the aftermath of the 2008 global financial crisis. Traditional lenders shied away from financing smaller, private market transactions, leaving a large gap in funding for the private equity market, especially in the middle market and below. Private debt firms filled the void. According to PitchBook, only 1,530 private debt transactions were made in 2010, a number that would rise to almost 5,000 transactions by 2018. Likewise, the value of those 2010 deals amounted to only $70.3 billion. Six years later, the aggregate value of private debt transactions ballooned to $316.5 billion, a more than fourfold increase.

This report, made in conjunction with PitchBook Data, aims to highlight the private debt market through multiple lenses, including fundraising, fund sizes, fund types, and geographical distribution. It also includes a spotlight on venture debt, which became a valuable tool for startups during the pandemic.

Access UMB Report

Hamilton Lane Selects UMB Fund Services as Administrator of Firm’s First U.S. Registered Closed-End Fund

Hamilton Lane Selects UMB Fund Services as Administrator of Firm’s First U.S. Registered Closed-End Fund

February 9, 2021

MILWAUKEE (Feb. 9, 2021) – UMB Fund Services, Inc. (UMBFS), a subsidiary of UMB Financial Corporation (Nasdaq: UMBF), is pleased to announce that it has been retained to provide fund administration, accounting, transfer agency, distribution* and custody* services for the Hamilton Lane Private Assets Fund (PAF), which merged from a private to registered product to become the firm’s first U.S. evergreen fund.

“We are pleased to continue providing services to Hamilton Lane following the conversion of the firm’s private fund into a registered product,” said Maureen Quill, executive vice president, executive director of registered funds at UMB Fund Services. “We look forward to supporting the growth of Hamilton Lane’s Private Assets Fund with our expertise as the firm markets the fund to qualified clients.”

Hamilton Lane (NASDAQ: HLNE), founded in Philadelphia in 1991, is a private markets investment management firm providing innovative solutions to sophisticated investors around the world. The PAF broadens accessibility to qualified U.S. investors. Compared to traditional private market offerings, the fund features a lower minimum investment of $50,000 and simple 1099 tax reporting; targets fee-efficient investments; and provides the potential for attractive risk-adjusted returns and limited administrative burden.

“We are pleased to have UMB Fund Services as a key service provider for PAF,” said Fred Shaw, Chief Risk Officer at Hamilton Lane. “UMB Fund Services’ expertise across registered closed-end funds, coupled with their high-touch service, will help us offer the fund to a broader set of U.S. investors seeking access to the private markets.”

UMBFS ranked as the top transfer agency for U.S. registered closed-end funds based on the number of accounts serviced in the 2020 Mutual Fund Service Guide. In 2019, UMBFS was named Best Interval Fund Administrator in the Fund Intelligence Operations and Services Awards.

UMB Fund Services is a subsidiary of UMB Financial Corporation, offering a complete line of products and services to the fund industry, including fund administration, fund accounting, tax, investor services and transfer agency, distribution* and custody*.

About Hamilton Lane:

Hamilton Lane (NASDAQ: HLNE) is a leading alternative investment management firm providing innovative private markets solutions to sophisticated investors around the world. Dedicated to private markets investing for 29 years, the firm currently employs over 400 professionals operating in offices throughout North America, Europe, Asia-Pacific and the Middle East. Hamilton Lane has approximately $657 billion in assets under management and supervision, composed of approximately $76 billion in discretionary assets and approximately $581 billion in advisory assets, as of December 31, 2020.  Hamilton Lane offers a full range of investment products and services that enable clients to participate in the private markets asset class on a global and customized basis. For more information, please visit www.hamiltonlane.com or follow Hamilton Lane on Twitter: @hamilton_lane.

About UMB:

UMB Financial Corporation (Nasdaq: UMBF) is a financial services company headquartered in Kansas City, Missouri. UMB offers commercial banking, which includes comprehensive deposit, lending and investment services, personal banking, which includes wealth management and financial planning services, and institutional banking, which includes asset servicing, corporate trust solutions, investment banking, and healthcare services. UMB operates branches throughout Missouri, Illinois, Colorado, Kansas, Oklahoma, Nebraska, Arizona and Texas, and serves business and institutional clients nationwide. For more information, visit UMB.com, UMB Blog, UMB Facebook and UMB LinkedIn, or follow us on Twitter at @UMBBank. For information about UMB’s operations, approach and relief measures during the COVID-19 pandemic, please visit https://more.umb.com/covid-info/.

 

*Services provided by UMB Distribution Services, LLC and UMB Bank, n.a.

Carter Multifamily Joins the Alternative Investment Exchange (AIX) Platform

Carter Multifamily Joins the Alternative Investment Exchange (AIX) Platform

Seamless data connectivity and paperless processing enables Carter Multifamily to raise greater capital by providing exceptional experience to allocators

February 3, 2021

Philadelphia, PA, February 3, 2021 – Alternative Investment Exchange (AIX), the platform making it easy to buy, own, and sell alternative investments, has onboarded Carter Multifamily Fund Management Company, LLC (“Carter Multifamily”) to the AIX platform. This integration opens the path for allocators to make Carter Multifamily funds a bigger part of their client portfolios. The successful onboarding was coordinated in tandem with Carter Multifamily and its independent broker-dealer and transfer agent partners.

Carter Multifamily is a private company focused on acquiring multifamily real estate investments that offer value-add enhancement opportunities. When the COVID-19 pandemic struck, it made the traditional paper-based processes associated with buying, owning, and selling alternative investments even more difficult and cumbersome for Carter and its partners. For Carter Multifamily, the pandemic accelerated its path toward adopting an efficient straight-through investment process as it shifted operations virtually.

After meeting with AIX, Carter Multifamily was motivated to digitize its entire process making it easier for partners hindered by labor-intensive paperwork, NIGO (Not in Good Order) errors, and other compliance issues. In working with Carter Multifamily and its partners, AIX conducted a seamless technology integration in a mere five weeks. Carter Multifamily is now up and running on the platform and has started the process of integrating a new fund into the AIX platform.

“At the top level, we wanted our broker-dealer representatives to be able to use the AIX platform to process transactions as painlessly as possible,” explained Lisa Robinson, President of Carter Multifamily. “With the help of AIX, we have empowered our representatives, enabling us to sharpen our focus on raising equity, acquiring assets, and more quickly seizing on available buying opportunities.”

The industry average cycle time for current paper-based processes is approximately six weeks from the time an advisor initiates an order to when clearing and settlement is complete. AIX’s end-to-end straight-through processing can take as little as 72 hours, reducing the time it takes to complete a transaction by 90%. What’s more, the alternatives industry sees paperwork errors, or NIGOs, as high as 50%, according to industry estimates. AIX can deliver NIGOs under 10% — preventing 80% of these issues before they are even submitted for review.

“Processing an order was previously a very laborious and paper-intensive process. Simply put, with AIX, we can bring in capital faster than ever before, and the system has shown to drastically reduce cycle times between advisors and investors,” added Robinson.

Solutions that digitize only account opening and subscription processes by generating digital versions of signed subscription documents remain cumbersome, time-consuming, opaque, and prone to errors. AIX addresses the entire lifecycle, digitally connecting all parties involved and seamlessly transmitting data through respective stakeholders’ systems.

Momentum continues to grow for AIX. Carter Multifamily joins a growing list of forward-thinking investment sponsors available through the AIX platform. “Carter Multifamily’s efforts in making a transformational impact on its business is inspiring and serves as a reference point for the industry,” said Brad West, AIX COO. “With the AIX platform in place, Carter Multifamily is creating better experiences for its investment advisor representatives which will, in turn, help reduce error rates and ultimately see efficiency savings passed back to them and individual investors.”

About AIX:

Alternative Investment Exchange (AIX) is an end-to-end digital platform purpose-built to improve the processes related to buying, owning, and selling alternative investments. AIX’s technology reduces friction, mitigates risk, and creates value across all alternative investing stakeholder groups – wealth managers, asset managers, custodians, transfer agents, and fund administrators. By evolving beyond documents to make data the connective tissue between alternative investment players, AIX makes it easier to conduct business and accelerate industry growth. For more information, please visit aixplatform.com or LinkedIn: linkedin.com/company/aix-alternative-investment-exchange.

Media Contact:
Mark Tordik
Broadpath
+1 215-644-6503
mtordik@broadpathpr.com

Asset-Map Announces Virtual Advisor Technology Showcase, AdviceTech.LIVE

Asset-Map Announces Virtual Advisor Technology Showcase, AdviceTech.LIVE

Competitive industry leaders convene to address the future of advice while supporting diversity and inclusion

PHILADELPHIA, PA – July 28, 2020Asset-Map Holdings Inc. (Asset-Map) today announced AdviceTech.LIVE, a live, virtual event that gives financial professionals unprecedented access to top financial technology executives who will speak on a wide range of forward-thinking topics and ideas. These industry leaders will debate their brands’ visions, the future of the industry, their diversity and inclusion initiatives, and more.  The event is sponsored by 20 market-leading technology firms, and half of all gross ticket sales will benefit the CFP Board’s Center for Financial Planning’s Diversity and Inclusion Initiative, which supports diversity in the financial planning industry by providing education and mentorship programs.

AdviceTech.LIVE will take place virtually on Thursday, August 27, 2020, from 10:30 AM-5:00 PM EDT, and attendance is open to the entire advice industry, including wealth managers, financial planners, and asset managers. Attendees will have the opportunity to learn about the technology they use every day; hearing directly from the industry’s top financial technology executives and their organizations via panel discussions, virtual booths, and group demonstrations. The event creates an exciting opportunity for industry experts to challenge each other, differentiate themselves in an open forum, and respond to questions from event attendees in real-time. Directly following the event, moderators will also host a program wrap-up, highlighting key takeaways. Five core advisor technology solutions will be discussed, including Financial Planning, Portfolio Management, CRM, Marketing Tools, and ‘Practice Magnifiers.’

“For too long, the technology that runs advisors’ practices has been reserved for those who know where to look,” says H. Adam Holt, CFP, ChFC, Asset-Map CEO and event organizer. “At Asset-Map, we saw an opportunity in these unprecedented times to create accessibility to tech leadership unlike ever before. As a fellow architect of advisor technology and a former financial advisor, I wanted to invite all advisors into the ‘room where it happens’ – creating an open forum to share the future of competitive solutions and brand vision on one platform.”

“We are extremely grateful to Asset-Map for their generous support of our Diversity and Inclusion initiative,” said D.A. Abrams, CAE, Managing Director of the CFP Board Center for Financial Planning. “This will greatly assist us in our efforts to make competent and ethical financial planning advice accessible to every American.”

The event’s participating firms include:  Morningstar, Orion Advisor Tech, SS&C BlackDiamond, Envestnet Tamarac, Envestnet MoneyGuide, eMoney Advisor, Advicent, Asset-Map, Snappy Kraken, AdvisorStream, FMG Suite, TwentyOverTen, Redtail Technology, Practifi, AdvisorEngine’s Junxure, Riskalyze, Everplans, MobileAssistant, and LifeYield. Industry thought leaders and panel moderators include Rene Nourse, CEO of URBAN Wealth, Craig Iskowitz, CEO of Ezra Group, Megan Carpenter, CEO of FiComm, Marguerita Cheng, CEO of Blue Ocean, and Toussaint Bailey, CEO of EnsoWealth.

AdviceTech.LIVE is currently open for registration; tickets cost $70. For more information on AdviceTech.LIVE, visit www.AdviceTech.Live.

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About Asset-Map

Asset-Map is a Software-as-a-Process experience for financial professionals who provide in-person and remote advice in the wealth management, investment, and insurance markets.  Typically included as part of the financial planning engagement process, Asset-Map centers around the digital visualization of household facts to build highly customized design-thinking presentations in minutes that help advisors and their customers make better financial decisions.  Asset-Map is used by thousands of professionals worldwide, having mapped over 1 million people and $600 billion in financial instruments.  For more information about Asset-Map, please visit asset-map.com.

About CFP Board

Certified Financial Planner Board of Standards, Inc. is the professional body for personal financial planners in the U.S. CFP Board sets standards for financial planning and administers the prestigious CFP® certification – one of the most respected certifications in financial services – so that the public has access to and benefits from competent and ethical financial planning. CFP Board, along with its Center for Financial Planning, is committed to increasing the public’s awareness of CFP® certification and access to a diverse, ethical and competent financial planning workforce. Widely recognized by firms and consumer groups as the standard for financial planning, CFP® certification is held by more than 87,000 people in the United States.

About the CFP Board Center for Financial Planning

The CFP Board Center for Financial Planning seeks to create a more diverse and sustainable financial planning profession so that every American has access to competent and ethical financial planning advice. The Center brings together CFP® professionals, firms, educators, researchers and experts to address profession-wide challenges in the areas of diversity and workforce development, and to build an academic home that offers opportunities for conducting and publishing new research that adds to the financial planning body of knowledge. More about the Center and its initiatives can be found at www.CenterforFinancialPlanning.org.

Media Contact for the Center:

Karen Grajales, Communications Specialist

P: 202-379-2256

E: kgrajales@cfpboard.org

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.

Riskalyze Announces “Fearless Week 2020”

Riskalyze Announces “Fearless Week 2020”

Fearless Week 2020 will be held August 11th – 14th, 2020 and feature approximately six hours of daily content including “main stage/all audience” blocks and large chunks of “breakout” sessions. It will be a broad-based industry event and include speakers from large custodian firm executives and large RIA entrepreneurs to wealth tech leaders and trade journalists.

Click here for more details.

Riskalyze Postpones Fearless Investing Summit 2020

Riskalyze Postpones Fearless Investing Summit 2020

June 5, 2020 | PRNewswire

In light of the COVID-19 pandemic and its resulting disruption, Riskalyze today announced the postponement of its annual Fearless Investing Summit, which was to take place in Palm Springs, CA this September. The event will now take place in October of 2021.

“The Fearless Investing Summit means the world to us and to the partners and customers we serve, so this decision did not come lightly,” said Aaron Klein, CEO at Riskalyze. “Given that there still isn’t much health guidance surrounding California’splan to allow conferences and other large events, we found it best to be cautious and protect the safety of our customers, partners, and employees.”

Riskalyze had already signed an incredible lineup of amazing guests, and all are expected to headline next year’s event. Tickets to the Fearless Investing Summit 2020 will automatically be applied to 2021, or advisors can easily request a refund if they prefer.

Read more…

New! CNB Is Now Able to Custody Precious Metals

New! CNB Is Now Able to Custody Precious Metals

Looking for even further diversification for your clients? CNB will now custody precious metals! For years, experts have recommended physical gold and silver as part of a portfolio diversification strategy and potential hedge against inflation, deflation and currency weaknesses.

With more than 30 years of experience providing innovative resources and services for custodial accounts, our experts can help you navigate the process of adding precious metals to an IRA. We offer two types of accounts, a Precious Metals Only Account, and a Precious Metals Plus Account which allows multiple investments types to be held in the same account as the precious metals. If you are choosing to add precious metals to a custodial account, both of the fee structures offer a great solution at a very competitive cost. Any precious metals purchase or sale transactions will be negotiated with the precious metals dealer of your choice. The dealer will deliver the precious metals for storage and safekeeping directly to the depository, Delaware Depository Services Company. CNB will report the metal values at Spot Price and provide all statements and required tax reporting.

For detailed information, please see our Disclosures & Instructions and Fee Schedule and visit our Precious Metals page. 

Learn more…

Four Springs Capital Trust Launches Altigo to Automate Alternative Investment Subscription Process

Four Springs Capital Trust Launches Altigo to Automate Alternative Investment Subscription Process

May 13, 2020

Four Springs Capital Trust announced today that it has entered into a strategic relationship with leading alternative investment and technology company WealthForge to utilize WealthForge’s Altigo platform. Alitgo is an end-to-end subscription automation technology solution that replaces the traditional manual, paper-based subscription process for alternative investments.

Altigo allows advisors and brokers to digitally subscribe clients to alternative investments, which creates a frictionless, technology-enabled user experience for advisors – dramatically reducing errors and cost for sponsors while expediting transactions for all parties involved. Because Altigo is a cloud-based system, the platform can be accessed from anywhere with an internet connection, opening up opportunities for financial advisors to continue servicing their high-net wort clients from outside of the office, rather than needing to be present for incoming documentation or overnight mail. Broker-dealers and RIAs that work with WealthForge’s sponsor partners are able to access their offerings on Altigo at no cost.

“We created Altigo to make the alternative investment process easier and more flexible for financial advisors, investment sponsors and high-net worth investors,” said Bill Robbins, Chief Executive Officer of WealthForge. “Investment sponsors like Four Springs Capital Trust understand the benefits of making the subscription process easier and more accurate for their financial advisor partners and investors.”

“We see tremendous benefit in migrating from paper-based transactions to a technology-based subscription process,” said William Dioguardi, Chief Executive Officer of Four Springs Capital Trust. “Altigo offers us the ability to provide outstanding customer service to our alternative investment clients through a streamlined business process.”

About Four Springs Capital Trust

Four Springs Capital Trust is a private, internally managed real estate investment trust focused on acquiring a diversified portfolio of industrial, medical, retail and office properties net leased to investment grade and other creditworthy tenants under long-term leases. The company’s Four Springs TEN31 Xchange platform is a sponsor of DST offerings featuring single tenant net-leased real estate and provides customized turnkey tax deferred exchange solutions for real estate investors.

About WealthForge

WealthForge provides technology solutions developed by regulatory experts to streamline investments into alternative securities. WealthForge was founded upon the idea that alternative capital markets are opaque, inefficient, and rife with barriers—and that needed to change.

Alternative Investment Industry Leaders AIX and AI Insight Announce Game-Changing Partnership

Alternative Investment Industry Leaders AIX and AI Insight Announce Game-Changing Partnership

March 5, 2020

PHILADELPHIA – March 5, 2020 – Alternative Investment Exchange (AIX), a financial technology solutions provider that streamlines the process of transacting in non-traded alternatives, today announced a partnership with AI Insight, the leader in alternative investment research, training and compliance support. This collaboration between two industry leaders will help financial advisors, broker dealers and fund sponsors by creating a more seamless and efficient interface experience and by linking advisors training with the authorization to purchase alternative investments. 
 
“AIX’s partnership with AI Insight is a natural extension of our mission to seamlessly connect previously unconnected data in the alternative investment industry to enable efficient, straight-through processing,” said Joseph P. Ujobai, CEO of AIX. “Together, we will eliminate the ambiguity and risk for advisors and broker dealers by combining training requirements, data and transaction authority in a user-friendly environment.” 
 
Because alternative investments are bought and sold less frequently than traditional, liquid financial instruments, advisors are often unaware of the additional checks and approvals that must be satisfied prior to completing purchase documents. This lack of awareness often leads to frustration and delays: if advisors submit purchase paperwork prior to completing the required training or meeting other key regulatory benchmarks, the transaction will require supervisory follow-up. Historically, the process has been manual, time-consuming and prone to human error. The partnership between AIX and AI Insight removed human error and makes the process streamlined, instantaneous and automatic.
 
“Partnering with AIX aligns perfectly with our goal of creating a more regulatorily compliant and efficient experience for broker dealers,” commented Sherri Cooke, CEO and Founder of AI Insight. “We have worked with AIX through their thoughtful development process to create a seamless processing tool, and we look forward to helping our clients reduce risk and save resources.”
 
With the AIX and AI Insight platforms integrated, advisors who use AIX will have their training status verified in real time. If they have not completed required training, they will be directed to AI Insight to satisfy the outstanding requirements. Once the required training is complete, the advisor will have authority to proceed with the investment and all necessary data is further transmitted electronically. By seamlessly integrating the training verification at the point of sale, the need for manual reconciliation and compliance or supervisory intervention is removed.

The benefits to all stakeholders include fewer processing errors, increased regulatory compliance, better transparency, less paperwork, greater efficiencies and consistencies for supervisory departments, shorter lag time to purchase products, and the potential for significant E & O insurance savings and enhanced coverage due to automated best practices. For broker dealers specifically, the real-time integration helps enforce compliance policies and saves time by eliminating the need to manually cross reference multiple information sources. For advisors, the behind-the-scenes connectivity eliminates guesswork as to what training is required and when, creating greater transparency and shorter cycle times. Asset managers and fund sponsors will expand their reach to advisors and investors who have been historically reluctant to allocate to alternatives.
 
Mr. Ujobai added, “From advisors to IBDs to investors, this partnership will create a better experience across the board for everyone involved in alternatives.”
 
More information about the AIX and AI Insight partnership is available at aixplatform.com/aiinsight.
 
About AIX:
Alternative Investment Exchange (AIX) is a leading enterprise platform that simplifies investing in alternatives – transforming the business model and empowering growth by connecting data. An independently operated company incubated at FS Investments, AIX’s technology helps wealth and asset managers use business intelligence to manage risk, drive efficiency and improve advisor and investor experiences. Thousands of wealth advisors rely on AIX to support their business. AIX employs over 30 people and is based in the Philadelphia Navy Yard. For more information, please visit aixplatform.com or Linkedin: linkedin.com/company/aix-alternative-investment-exchange.
 
About AI Insight:
AI Insight is a leader in alternative investment research, training and compliance support, working with 140 alternative investment managers, 160 broker dealer and RIA firms representing about 50,000 advisors. Financial firms and advisors can research the individual investment offerings from AI Insight’s universe of hundreds of programs to train, track compliance activity, access marketing support and monitor ongoing performance—all via a customizable, dedicated platform that increases visibility, accessibility, and transparency. For more information, please visit aiinsight.com.
 
Contact Information
Julie Rudnick or Paige Barrett
Sard Verbinnen & Co
212-687-8080
JRudnick@SARDVERB.com or PBarrett@SARDVERB.com