iCapital Network, a US fintech platform democratizing alternative investments for high-net-worth individuals and their advisors, announced on Friday it has formed a partnership with Morgan Stanley to provide alternative investment feeder fund services. It was revealed that the alternative investments feeder fund business transferring to iCapital is comprised of approximately 115 investment vehicles across a range of investment strategies.
iCapital reported that its proprietary end-to-end technology solution will be leveraged to streamline ongoing operations and administration services for the funds and provide support to advisors and their high-net-worth client base. Following the transaction with Morgan Stanley, iCapital will service approximately $40 billion in private fund assets for more than 100,000 underlying accounts. While sharing more details about the collaboration, Lawrence Calcano, CEO of iCapital Network, stated:
“Morgan Stanley has been a trusted, strategic business associate of iCapital for the last two years, and this agreement is testimony to the collaborative nature of our relationship and common goal to enhance the alternative investing process for advisors and their clients. The iCapital technology’s capacity for scale, customization and support allows us to offer a level of service in the alternative investing industry that has not previously been available and we look forward to providing the highest quality experience for the Morgan Stanley team during this transition.”
iCapital then noted that Morgan Stanley will continue to source and monitor alternative investments for its clients while providing ongoing guidance to those clients on the role of alternative investments within a diversified investment strategy. Investors in these funds will continue to be clients of Morgan Stanley. Jeremy Beal, head of Alternative Investments at Morgan Stanley, went on to add:
“iCapital has emerged as the industry’s leading provider of technology, infrastructure and feeder fund services. Our relationship with iCapital will bring greater scale and efficiency to our feeder fund business as well as enhanced technology and reporting to our advisors and clients.”