iCapital, the fintech platform transforming the investment industry for better outcomes, and Citi announced that iCapital is acquiring from Citi one of its indirect subsidiaries, Citi Global Alternatives, LLC, the advisor to Citi Wealth’s global alternative investment fund platform.
This platform represents more than “180 alternatives funds distributed globally.”
It comprises investment vehicles across a range of alternative investment strategies and asset classes, “including private equity, growth equity, private credit, infrastructure, venture capital, real estate and hedge funds.”
Lawrence Calcano, Chairman and CEO of iCapital said:
“We are excited to partner with Citi Wealth to drive growth for their alternatives business globally. iCapital’s technology platform will streamline the operations and management of their current and future alternative investment funds platform. Additionally, we will enhance Citi Wealth’s global sales capabilities with a dedicated alternative investment specialist team, equipping advisors with more resources focused on pre-sale, sale and post sales investment activities. The team will cover all asset classes and product structures, working in close partnership with Citi and general partners to support alts platform growth.”
Having completed fund platform acquisitions with FIs, iCapital is qualified to consolidate fund platforms “of all types and sizes, unlocking operational efficiency, and providing a technology solution for partners.”
With this transaction, iCapital will manage and operate the fund platform, while Citi remains the “distributor of such funds and will continue offering guidance to its clients on the role of alternative investments within a diversified investment strategy.”
Terms of the purchase agreement “were not disclosed.”
As covered, iCapital is a global firm specializing in “shaping the future of private markets’ investing for financial advisors, wealth managers, asset managers, and other industry participants.”
iCapital offers a range of non-traditional investment products “on iCapital Marketplace, Enterprise solutions, and both Technology and Data Services, driving better outcomes for all participants in the ecosystem.”
Backed by the alternative asset managers and wealth managers, iCapital provides “access, data connectivity, education, and research programs to advisors and their clients.”
Leveraging AI and machine learning for digital identity (KYC/AML), iCapital supports “compliant and secure investment lifecycle processes.”
iCapital’s end-to-end platform manages the “lifecycle of non-traditional investment products, making it easier to learn about, buy, manage, and integrate alternative assets, structured investments (SI) and annuities into portfolios, driving, scale and efficiency.”
Their solution(s) can be customized and “offers specific modules as needed.”
iCapital streamlines private market investing with “over $880 billion in platform assets including $220 billion in alternatives, almost $200 billion in SI and annuities, and almost $480 billion in data assets reported on, and serving over 2,900 wealth management firms and 108,000 active financial professionals.”
Headquartered in New York, iCapital operates globally with “16 offices, including major hubs in Zurich, London, Hong Kong, Singapore, Tokyo, and Toronto, and an industry-leading R&D center in Lisbon.”