UBS, Envestnet and iCapital Announce Launch of Alternatives Exchange Platform Offering Expanded Access to Alternative Investment Strategies and Education

Rhea-AI Summary

On March 31, 2022, UBS, Envestnet, and iCapital launched the Alternatives Exchange, enhancing access to over 35 alternative investment funds for Envestnet's clients. This initiative responds to rising demand from high-net-worth investors, projected to grow private equity investments to $1.2 trillion by 2025. The platform aims to streamline the investment process through automated services and centralized document management. Additionally, the AltsEdge™ Certificate Program offers educational resources for advisors to better navigate alternative investments.

Positive

• Launch of Alternatives Exchange providing access to over 35 alternative funds.
• Market demand for private equity investments projected to reach $1.2 trillion by 2025.
• Automation of subscription and client servicing processes enhances efficiency.
• AltsEdge™ program offers educational resources for advisors.

Negative

• None.

CHICAGO and NEW YORK , March 31, 2022 /PRNewswire/ -- UBS (NYSE: UBS), Envestnet (NYSE: ENV), and iCapital¹ today announced that the Alternatives Exchange is now live, providing private market investment opportunities to Envestnet's client base with more than 35 funds available from managers across geographies and strategies. Users of Envestnet's Alternatives Exchange will now also have access to the AltsEdge™ Certificate Program, the award-winning² educational initiative jointly created by iCapital and Chartered Alternative Investment Analyst (CAIA) Association to help advisors build their knowledge of the alternative investment space and how this asset class can potentially benefit their clients.

The expansion of the Alternatives Exchange comes at a time when high-net-worth (HNW) investors are increasingly looking to diversify into alternative investments.  According to "The Future is Private – Unlocking the Art of Private Equity in Wealth Management," HNW individuals are expected to increase their private equity investments by a compound annual growth rate of nearly 19%, with global HNW investor commitments to private equity rising to $1.2 trillion by 2025.

"With the increased demand for alternative investments from HNW and ultra-high-net-worth investors accelerating, the Alternatives Exchange will help us broaden our distribution network and provide clients with curated products to meet their evolving needs," said Jerry Pascucci, Head of Global Alternative Investment Solutions, Global Wealth Management, at UBS. "Advisors best serve their clients when they have access to the latest tools, educational resources and wide spectrum of investment solutions."

"As inflation, yields and spreads rise, advisors continue to look for diversified investment options for their clients to help keep their portfolios on track to meet their goals and achieve an intelligent financial life," said Dana D'Auria, Co-Chief Investment Officer of Envestnet. "Our partnership through the Alternatives Exchange empowers advisors with not only research, but easy access to alternative investment solutions in multiple categories – providing clients with a broader and more complete range of solutions through the Envestnet platform."

"Creating access to alternative investments for advisors and clients has to start with making the experience much easier. We are thrilled that Envestnet has chosen to leverage iCapital's turnkey technology to furnish the infrastructure powering the Alternatives Exchange and provide their advisors access to UBS and iCapital diligenced investment strategies," said Lawrence Calcano, Chairman and CEO of iCapital. "The addition of the AltsEdge™ advisor education program will offer those new to alternatives the requisite tools to help their clients successfully incorporate these investments to their portfolios."

With the Alternatives Exchange, powered by iCapital technology, subscription and client servicing processes throughout the entire investment lifecycle are fully automated, eliminating operational difficulties and the traditional manual, paper-based practice advisors and their clients have historically faced with this asset class. Additionally, advisors and their clients benefit from centralized document management with full transparency and comprehensive, streamlined reporting holistically integrated into the Envestnet and Tamarac platforms. 

The AltsEdge™ Certificate Program is a comprehensive program with guided modules covering the private markets, various strategies and product structures, hedge funds, registered funds, and portfolio construction. The interactive modules, which provide advisors with foundational knowledge through practical considerations in employing alternatives, are hosted on a best-in-class learning management system that includes the opportunity to earn continuing education (CE) credits.

About UBS
UBS provides financial advice and solutions to wealthy, institutional and corporate clients worldwide, as well as private clients in Switzerland. UBS is the largest truly global wealth manager, and a leading personal and corporate bank in Switzerland, with a large-scale and diversified global asset manager and a focused investment bank. The bank focuses on businesses that have a strong competitive position in their targeted markets, are capital efficient, and have an attractive long-term structural growth or profitability outlook.

About Envestnet
Envestnet refers to the family of operating subsidiaries of the public holding company, Envestnet, Inc. (NYSE: ENV). Envestnet is transforming the way financial advice and wellness are delivered. Our mission is to empower advisors and financial service providers with innovative technology, solutions, and intelligence to make financial wellness a reality for everyone. Over 108,000 advisors and more than 6,000 companies including: 18 of the 20 largest U.S. banks, 47 of the 50 largest wealth management and brokerage firms, over 500 of the largest RIAs and hundreds of FinTech companies, leverage Envestnet technology and services that help drive better outcomes for enterprises, advisors, and their clients.

For more information on Envestnet, please visit www.envestnet.com, subscribe to our blog, and follow us on Twitter (@ENVintel) and LinkedIn.

About iCapital
Founded in 2013 in NYC, iCapital is the leading global fintech company powering the world's alternative investment marketplace. It has transformed the way the wealth management, banking, and asset management industries facilitate access to private markets investments for their high-net-worth clients by providing intuitive, end-to-end technology and service solutions. Wealth management firms use iCapital's solutions to provide clients with quality funds at lower minimums and simplified digital workflows. Asset managers, RIAs and banks leverage iCapital's technology to streamline and scale their alternative investments operational infrastructure. Additionally, the iCapital 'flagship' platform offers wealth advisors and their high-net-worth clients access to a curated menu of private equity, private credit, hedge funds, structured notes, and other alternative investments to help meet their investing needs for return and diversification. iCapital's research and diligence team offers robust analysis alongside the firm's extensive suite of advisor education, compliance, portfolio management, and portfolio analytics tools and services. iCapital was recognized on the Forbes FinTech 50 list in 2018, 2019, 2020 and 2021, the Forbes America's Best Startup Employers in 2021 and 2022, and MMI/Barron's Industry Awards as Solutions Provider of the Year in 2020 and 2021. As of February 28, 2022, iCapital services more than US$115 billion in global client assets, of which US$28 billion are from international investors (non-US Domestic), across more than 970 funds. Employing more than 750 people globally, iCapital is headquartered in NYC and has offices worldwide including in Zurich, London, Lisbon, Hong Kong, Singapore, and Toronto.

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

See disclosures here.

Media Contacts:
UBS
Erica Chase 
212-713-1302 
erica.chase@ubs.com

Envestnet 
Dana Taormina, JConnelly 
973-647- 4626 
envestnetpr@jconnelly.com

Capital 
Emma Murphy / Morgan Miller 
+ 1 347-968-6800 / + 1 919-602-2806 
icapital@neibartgroup.com

Product-related questions: 
UBS 
www.ubs.com/independentadvisorsolutions 
1-833-827-1010

J.P. Connellan 
joseph.connellan@ubs.com 

Melanie Warner 
melanie.warner@ubs.com

¹ Institutional Capital Network, Inc. and its affiliates (together, "iCapital Network" or "iCapital")
² Barron's/MMI 2021 Industry Award Winner, Thought Leadership/Education

 

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SOURCE UBS; Envestnet, Inc.; iCapital

FAQ

What is the Alternatives Exchange launched by UBS, Envestnet, and iCapital?

The Alternatives Exchange is a new platform providing access to over 35 alternative investment funds tailored for high-net-worth clients.

What are the projected trends for private equity investments among high-net-worth investors?

High-net-worth investors are projected to grow their commitments to private equity investments by nearly 19% annually, reaching $1.2 trillion by 2025.

How does the Alternatives Exchange improve the investment process?

The Alternatives Exchange automates subscription and client servicing processes, enhancing operational efficiency for advisors and clients.

What educational resources are available through the AltsEdge™ program?

The AltsEdge™ program offers guided modules covering various alternative investment strategies and portfolio construction, providing advisors with essential knowledge.