MSIM and iCapital expand their alliance to support more wealth managers

Morgan Stanley Investment Management (MSIM) has extended its collaboration with iCapital in the United States to serve more banks and wealth managers around the world.

The expanded partnership aims to provide a group of private markets funds managed by MSIM.

It is based on an ongoing strategic partnership between MSIM’s US unit and iCapital to offer the latter’s alternative investment feeder fund services to clients.

iCapital develops various technologies and solutions designed to bridge the gap between wealth managers and their clients.

The solutions are meant to automate the underwriting, administration, operational and reporting processes of wealth managers and their clients throughout the investment period.

Jacques Chappuis, Global Head of Distribution and Solutions at MSIM and Co-Head of the Multi-Asset Group, said: “This is a new chapter in Morgan Stanley’s partnership with iCapital.

“While our private markets funds are typically reserved for institutional investors, we are excited to be able to expand the customer base accessing our industry-leading private markets funds and to help high net worth investors around the world further diversify their investment portfolios.”

MSIM noted that investing in private markets could produce more returns and provide diversification for investors to explore new options.

The growing exposure to private markets investments is allowing banks and wealth managers to connect with alternative assets, including private equity and private credit, MSIM said.

Marco Bizzozero, International Director of iCapital, said: “Wealth managers are increasingly looking to alternative investments as another way to try to help their clients improve their financial results.

“We are extremely pleased to further strengthen our longstanding relationship with Morgan Stanley.

“The expansion of this successful partnership now provides access to the potential for growth and diversification that leading investment opportunities in private markets can offer advisors and their HNW clients globally.”

Recently, iCapital form a strategic partnership with alternative investment provider AXA IM Alts to provide better private market investment choices to wealth managers.

Dolores W. Simon