New York, NY — Blue Trust, a wealth management and trust services firm, today announced a significant milestone in its relationship with iCapital1, the global fintech platform driving access to alternative investments for the wealth management industry: Blue Trust’s clients have now brought $1 billion onto the iCapital platform, underscoring the growing interest and demand for alternative investments among independent wealth firms and their high-net-worth clients.
This collaboration began in 2019 when Blue Trust approached iCapital to explore ways to expand the wealth and trust service firm’s alternative investment offerings and provide its clients with access to institutional-quality investment opportunities. iCapital created a customized, end-to-end solution to simplify the management of alternative investments, from subscription and administration to operational and reporting processes. As part of this solution, Blue Trust advisors also gained access to education and a comprehensive suite of research, due diligence, and educational materials, empowering them to make more informed investment decisions on behalf of their clients.
“Our relationship with iCapital has been instrumental in expanding our alternative investment offerings and providing our clients with access to institutional-quality investment opportunities,” said Brian McClard, Chief Investment Officer at Blue Trust. “We look forward to continuing our collaboration and achieving even greater success together.”
Armed with the right innovative tools and technologies, Blue Trust has been able to quickly scale its alternatives business.
“We are thrilled to celebrate Blue Trust’s incredible achievement of surpassing $1 billion invested on the iCapital platform. This milestone is a testament to their trust in our capabilities and our commitment to delivering exceptional investment opportunities,” said Steve Houston, Managing Director and Co-Head of iCapital Solutions. “Together, we are shaping the future of financial growth and success of their advisors and clients.”
A growing trend
As wealth advisors continue to play an increasingly important role in our financial world, alternative investments also play an increasingly important role in client portfolios. According to new research2, private market assets under management (AUM) is set to grow by a nearly 9% compound annual growth rate (CAGR), reaching $60 trillion by 2032, more than twice the rate of public market AUM. Rising interest and activity from individual investors will cause the overall share of retail AUM to increase from 16% in 2022 to 22% in 2032.
During the first half of 2024, 170 new wealth management firms have partnered with iCapital to increase access to alternative investments and reduce the complexity of managing those investments. Currently, more than 75% of the top 50 largest RIAs ranked by AUM use iCapital Marketplace to power their alternatives business.
iCapital remains committed to supporting wealth firms with cutting-edge technology and unparalleled access to alternative investment strategies. To learn more about how wealth managers are benefitting from iCapital’s customizable platform solution, click here.
1. iCapital, Inc. and its affiliates (together, “iCapital”)
2. Bain & Company estimates that private market assets under management (AUM) will grow by a nearly 9% compound annual growth rate (CAGR) through 2033, more than twice the rate of public market AUM. Similarly, rising contributions from retail investors will cause the retail AUM share to rise from 16% in 2022 to 22% in 2032. August 2024.
DISCLOSURES
This material has been provided to you for informational purposes only by iCapital, Inc. and/or one of its affiliates including Institutional Capital Network, Inc. (collectively, "iCapital"). This material is the property of iCapital and may not be shared without its written permission. No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of iCapital. This is not intended as, and may not be relied on in any manner as, legal, tax or investment advice, a recommendation to employ a specific investment strategy, or as an offer to sell, a solicitation of an offer to purchase, or a recommendation of any interest in any fund or security. Security products and services are offered through iCapital Markets LLC, a registered broker/dealer, member FINRA and SIPC. Financial products made available by iCapital Markets LLC may be complex and/or speculative and are not suitable for all investors. iCapital Advisors, LLC is an investment adviser registered with the Securities and Exchange Commission and acts as an adviser to certain privately offered investment funds. "iCapital" and "iCapital Network" are registered trademarks of Institutional Capital Network, Inc.
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