Commonwealth Expands Advisor Access to Alternative Investments

(Business Wire) - Commonwealth Financial Network®, a national firm dedicated to providing financial advisors with holistic, integrated business solutions, announces its partnership with iCapital, the global fintech platform driving the world’s alternative investment marketplace for the wealth management industry.

The company delivers a white-labeled platform and enables affiliated advisors to efficiently source nontraded alternative investment opportunities for high-net-worth (HNW) client portfolios.

According to a recent study by Cerulli Associates, the demand for alternative investments is increasing among HNW investors. By scaling its alternative investment offering, Commonwealth gives advisors direct access to high-quality alternative investment funds vetted by the firm’s Alternative Investments team.

“The iCapital partnership allows Commonwealth to supplement our existing alternative investments product platform with a suite of products designed for high-net-worth investors,” explained Chad LaFauci, vice president of alternative investments. “Investing in private alternatives has historically been a cumbersome process with a lot of paperwork. The process is digitized with iCapital, making it easier and more streamlined. Our advisors now can reclaim time to focus on other priorities while having access to a more powerful way to attract and retain high-net-worth clients,” LaFauci added.

The custom platform is a direct response to feedback from advisors seeking additional solutions to help them more effectively compete for—and win—HNW business. The wide range of exclusive investment options is curated to help Commonwealth affiliates diversify HNW investors’ portfolios with options generally reserved for institutional investors.

“What Commonwealth’s strategic partnership with iCapital gives us is critical because it’s a side-by-side comparison that would take me hours to create—hours that I don’t have to spare,” shared affiliated advisor Justin Bitner, CFP®, ChFC®, AIF®, RICP®, wealth manager at Sterling Financial Group in Salt Lake City, Utah. “I also have talking points with clients that are right there for me in a consistent format. There’s so much that lends itself to efficiencies, and I love it.”

Honed during a pilot program, this end-to-end solution allows advisors to conduct research and education, perform due diligence, and facilitate subscriptions through one integrated platform. While the current product set is geared toward HNW investors, the goal is to expand the product set to accommodate additional net worth levels in the future.

May 21, 2024


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