iCapital, the global fintech platform driving access to alternative investments for the wealth management industry, unveiled iCapital Architect, an innovative portfolio construction tool that empowers financial advisors “to build robust, personalized client portfolios incorporating alternatives and structured investments.”
Advisors can use Architect – which “combines a user-friendly interface with sophisticated analytics – to evaluate alternatives and structured investments alongside traditional assets and seamlessly design portfolios that align with their clients’ return objectives and risk profiles.”
Among the tool’s many features are resources “for evaluating historical performance and running institutional-quality risk factor analyses — key attributes for developing insightful investment recommendations.”
Lawrence Calcano, Chairman and CEO of iCapital, said:
“Advisors have long expressed a need for more comprehensive tools to effectively evaluate the inclusion of alternatives and structured investments in client portfolios. These investments have been the blind spot in many portfolio construction offerings. Architect provides advisors with the specialized data and tools required to effectively evaluate alternatives and structured investments — important assets when building well-rounded portfolios. The needs of our clients are evolving and so should their tools.”
Architect’s launch comes at a time “when there is a growing need for delivering outcome-oriented portfolios that span alternative, structured, and traditional investments.”
It marks a significant step forward “for iCapital and underscores its commitment to investing in innovation for the benefit of the wealth management community.”
Dick Pfister, CEO of AlphaCore, a La Jolla, CA wealth advisor with $2.4 billion in assets under management, said:
“Architect is an extremely useful tool utilized by our advisors to help analyze and explain how the inclusion of alternative strategies can diversify and strengthen client portfolios.The ability to both visualize the potential return, and stress test the risk/reward characteristics of adding unique alternative assets, is a major differentiator.”
Founded in 2013, iCapital claims it is “the leading global fintech company powering the world’s alternative investment marketplace.”
iCapital has transformed “how 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, education tools and resources, and robust diligence, compliance, and portfolio analytics capabilities.”
iCapital’s solutions enable organizations “to streamline and scale their operational infrastructure for alternative investments and to provide access to direct investments and feeder funds at lower minimums through simplified digital workflows.”
iCapital-managed platforms “offer wealth advisors and their high-net-worth clients access to an extensive menu of private investments, including equity, credit, real estate, infrastructure, hedge funds, structured investments, annuities, and risk-managed solutions.”
As of June 30, 2023, iCapital services “more than $162 billion in global client assets, of which nearly $29 billion are from international investors (non-U.S. domestic) across more than 1,300 funds.”
Employing more than 1,100 people globally, iCapital is headquartered “in New York City and has offices worldwide, including in Zurich, London, Lisbon, Hong Kong, Singapore, and Toronto.”