Morgan Stanley Investment Management has invested in iCapital Network, a New York-based fintech platform offering alternative investments for high-net-worth individuals and their financial advisers.
iCapital offers access to alternative investments such as hedge funds and private equity funds through its online platform. It also automates the subscription, administration and reporting of these investments.
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The fintech firm has BlackRock as the lead investor and recently also raised funding from UBS Financial Services. The latest investment takes the total amount raised by the firm to over $50m.
iCapital said that it will use the latest funding to upgrade its platform.
On the other hand, Morgan Stanley Investment Management will use iCapital’s technology to streamline parts of its private fund operations. The companies did not disclose other terms of the deal.
Morgan Stanley Investment Management head Dan Simkowitz said: “Many high-net-worth investors, in our view, are under-allocated to alternatives relative to their institutional counterparts. iCapital’s technology and investment platform successfully removes many of the operational impediments that high-net-worth investors face when seeking to increase their commitments to these strategies.
“In doing so, we believe that iCapital has significantly improved the client experience for individual investors and those who serve them.”
