iCapital Partnerships Fuel Massive Growth In Assets Services

iCapital Network has announced the close of a $146 million capital raise led by Ping An Global Voyager Fund.

The New York-based company’s flagship platform offers advisors and their clients access to private equity and hedge funds at lower minimums. New investors Goldman Sachs, Affiliated Managers Group, Hamilton Lane and WestCap, also participated in the round, along with existing investors BlackRock, UBS Financial Services, Blackstone and BNY Mellon. The funding will be used to boost iCapital’s platform and expand functionality.

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As part of the raise, BlackRock, a long-standing strategic partner of iCapital, will take a significant minority stake in the company. This follows news late last year that BlackRock was canceling its previous plan to take over iCapital.

In addition, Hong Kong-based Ping An and other investors are partnering with iCapital to use its technology to help manage their end-to-end operations.

It has been a series of partnerships that has helped iCapital post a strong 2019, with a more than 400 percent increase in assets serviced by its platform, going from $8 billion to $46.6 billion across more than 470 funds, 100,000 underlying accounts and 55 white label partnerships. The company also expanded internationally, presenting solutions in Asia, the Americas and the Middle East.

Last year, iCapital formalized partner agreements with IEQ Capital, Janney Montgomery Scott, Keebeck Wealth Management, Personal Capital, United Capital, First Republic, and SunTrust. In addition, it announced an expanded relationship with Schwab Advisor Services, making iCapital the first platform provider to deliver alternative investment options on the Schwab new marketplace. And in November, iCapital revealed that it is creating a customized technology platform for investment management firm PIMCO, giving advisors and their high-net-worth clients access to PIMCO’s alternative strategies.

iCapital is also forging new relationships in 2020, announcing a partnership that will combine State Street’s registered transfer agency and private market fund administration capabilities with iCapital’s platform technology and distribution network.

"The asset and wealth management industries have embraced the need for an independent, automated, transparent approach to alternatives. The future we believe in and the future we are building is one where all parties win,” said Lawrence Calcano, Chief Executive Officer of iCapital Network.