iCapital® to Acquire Stifel Feeder Fund Platform

Rhea-AI Summary

iCapital announced an agreement to acquire Stifel Financial Corp.'s alternative investment feeder fund platform, enhancing their existing partnership. Upon closing, iCapital will manage over $118 billion in platform assets and employ 770 staff. This acquisition aims to streamline operations and support high-net-worth investors through improved technology. The deal is expected to close later this quarter, although financial terms remain undisclosed. Stifel will continue to source alternative investments for its clients while iCapital leverages its technology for better service.

Positive

• iCapital to manage over $118 billion in assets post-acquisition.
• Expansion of existing partnership with Stifel enhances market position.
• Acquisition includes 770 employees, ensuring continuity of service.

Negative

• None.

iCapital to service more than $118 billion in platform assets and employ 770 upon close

NEW YORK & ST. LOUIS--(BUSINESS WIRE)-- iCapital¹, the leading global fintech platform driving access and efficiency in alternative investing for the asset and wealth management industries, and Stifel Financial Corp. (NYSE: SF) today announced they have entered into a definitive agreement under which iCapital will acquire Stifel’s alternative investment feeder fund platform in an expansion of their existing partnership.

Stifel’s feeder fund platform supports distribution of a suite of unique hedge fund strategies. Upon closing, iCapital’s white label technology will be leveraged to streamline and automate the onboarding, subscription processing and lifecycle operations for Stifel feeder funds, while providing support to Stifel’s advisors and their high-net-worth investors. Stifel will continue to source alternative investments for its clients and provide them with guidance on the role of alternative investments within a diversified investment strategy. Investors in these funds will remain clients of Stifel.

“Stifel is an industry leader and iCapital is honored to be entrusted with the management of their feeder fund business,” said Lawrence Calcano, Chairman and Chief Executive Officer of iCapital. “We are grateful for the industry’s adoption of our technology as the standard alternative investing operating system, which provides a best-in-class digitalized investing experience.”

As part of the transaction, iCapital will offer employment to the team of Stifel employees who currently support operations for the feeder fund platform. The transitioning team will continue to support the fund portfolio and ensure the ongoing quality of service.

“We look forward to expanding our partnership with iCapital to continue offering our clients access to high-quality alternative investment opportunities on an updated platform that offers increased transparency and streamlined workflows,” said Tom Lee, Senior Managing Director at Stifel. “After careful consideration, we concluded the iCapital technology and team are best qualified to take over the ongoing service of our feeder fund platform.”

The transaction is expected to close later this quarter. Terms of the agreement were not disclosed.

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 MMI/Barron’s Industry Awards as Solutions Provider of the Year in 2020 and 2021. As of January 31, 2022, iCapital services US$112 billion in global client assets, of which more than US$25 billion are from international investors (non-US Domestic), across more than 940 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.

Stifel Company Information

Stifel Financial Corp. (NYSE: SF) is a financial services holding company headquartered in St. Louis, Missouri, that conducts its banking, securities, and financial services business through several wholly owned subsidiaries. Stifel’s broker-dealer clients are served in the United States through Stifel, Nicolaus & Company, Incorporated, including its Eaton Partners business division; Keefe, Bruyette & Woods, Inc.; Miller Buckfire & Co., LLC and Stifel Independent Advisors, LLC. The Company’s broker-dealer affiliates provide securities brokerage, investment banking, trading, investment advisory, and related financial services to individual investors, professional money managers, businesses, and municipalities. Stifel Bank and Stifel Bank & Trust offer a full range of consumer and commercial lending solutions. Stifel Trust Company, N.A. and Stifel Trust Company Delaware, N.A. offer trust and related services. To learn more about Stifel, please visit the Company’s website at www.stifel.com. For global disclosures, please visit https://www.stifel.com/investor-relations/press-releases.

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¹ Institutional Capital Network, Inc. and its affiliates (together, “iCapital”)

View source version on businesswire.com: https://www.businesswire.com/news/home/20220310005315/en/

For iCapital media inquiries, please contact:

Morgan Miller

(919) 602-2806

icapital@neibartgroup.com



For Stifel media inquiries, please contact:

Neil Shapiro

(212) 271-3447

shapiron@stifel.com

Source: iCapital

FAQ

What is the purpose of iCapital's acquisition of Stifel's feeder fund platform?

The acquisition aims to enhance operational efficiency and improve the service quality for high-net-worth investors.

When is the iCapital and Stifel acquisition expected to close?

The transaction is expected to close later this quarter.

What assets will iCapital manage after acquiring Stifel's platform?

iCapital will manage more than $118 billion in assets upon closing the acquisition.

Who will continue to source alternative investments after the acquisition?

Stifel will continue to provide alternative investment sourcing for its clients.

How many employees will iCapital employ following the Stifel acquisition?

iCapital is set to employ 770 staff members after the acquisition.