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UBS, Envestnet and iCapital Launch Alternatives Exchange

Written by Shanny Basar | Apr 1, 2022 8:25:08 AM

UBS, Envestnet, and iCapital1 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.

Source: UBS