iCapital, a Fintech platform that enables the global alternative investment industry for asset and wealth management, has announced its acquisition of Parallel Markets. Parallel Markets is a company specializing in reusable financial identities and offering a complete scalable option for verifying investors and keeping an eye on them. The integration of Parallel Markets’ technology will enhance iCapital’s onboarding and compliance processes, simplifying investor verification and regulatory adherence. This move aims to reduce redundancy in private market investing by introducing the iCapital Investor Passport, a universal digital identity for fund investors. This passport will allow institutional and wealth management clients to securely store, manage, and share personal data required for fund subscriptions and compliance verification, ensuring a seamless and efficient user experience.
According to estimates, $2.5 billion is spent annually on identity verification and compliance in financial services. iCapital’s acquisition of Parallel Markets addresses this challenge by offering fund managers significant savings in onboarding time and operational costs. Investors will benefit from reduced friction, as the Investor Passport eliminates the need for repeated data submissions across multiple opportunities. Tony Peccatiello, Co-founder and CEO of Parallel Markets, who will be joining iCapital as part of the acquisition, said, “We are thrilled to join iCapital and together provide an innovative, tech-enabled identity management service that powers further integration between asset and wealth managers in a seamless experience.”
