State Street Corporation has teamed up with iCapital Network, a financial technology platform setting the industry standard for delivering access and efficiency in alternative investing.
The partnership will combine State Street's registered transfer agency and private market fund administration capabilities with iCapital's platform technology and distribution network to enhance the offering and servicing of US registered funds.
State Street said in a note that the agreement was aimed to support State Street clients's navigation in the alternatives space while it would allow its alternative fund manager clients to simplify and accelerate the launch of registered private market products. It would also enable them to establish scaled access to the wealth management channels, monitor fund raising activities, and utilize a comprehensive, fully searchable database of all their investor documents across all funds.
A strong partner with a solution that addresses the needs of the investor, fund manager and investment advisors and distributors is critical. That’s why we’re partnering with iCapital."
Paul Fleming, global head of State Street's Alternative Investment Solutions (AIS) group, said: "If the private markets were to capture just 5-10% of the affluent and mass affluent market in the US alone, it would represent between $800bn and $1.6trn in assets under management. A strong partner with a solution that addresses the needs of the investor, fund manager and investment advisors and distributors is critical. That's why we're partnering with iCapital."
Lawrence Calcano, chief executive officer at iCapital Network, also commented: "The opportunities of the private market have traditionally been unattainable for those that lack the scale of an institutional investor.
"However, our technology is rapidly changing that with access, efficiency and transparency. This partnership with State Street aims to create new opportunities for fund managers, advisors and high-net-worth investors by facilitating the offering of registered funds, providing managers access to fresh capital and giving investors an opportunity to add new asset classes to their portfolios."