The Bank of New York Mellon Corp. has tapped alternative investment platform iCapital to give its clients more access to private market strategies and enhance its investment management capabilities.
BNY’s financial advisors will be able to access funds and management tools available from iCapital through the bank’s existing alternative investment platform, Alts Bridge, which launched last September. Alts Bridge is also integrated with the bank’s multi-custodial wealth management platform, Wove. This will streamline the investment management process for BNY’s advisors by combining traditional and alternative investment management into a single interface.
“Through this alliance, we are helping to unlock access for advisors to alternatives and private markets by delivering a streamlined experience and more comprehensive set of investment options,” Ainslie Simmonds, executive platform owner, BNY’s wealth service platform, said in a statement. “iCapital with Alts Bridge and Wove will create a user experience that will be unique in the market and continue to help advisors provide the investment solutions their clients are looking for.”
BNY launched the Alts Bridge platform last year with alternative investment products from KKR, Apollo, Blue Owl Capital, Coller Capital, Partners Group and Franklin Templeton. The firm’s executives noted they wanted to reach a goal of 10% to 15% portfolio allocation to alternatives by their financial advisor clients, which they felt they had not yet achieved.
“We’re excited to collaborate with BNY to deliver technology that empowers financial advisors to scale their access to alternative investments,” Steve Houston, managing director and co-head of iCapital Solutions, said in a statement. “By accessing this integrated solution, clients will have a more automated experience that is more transparent, efficient and easier to manage, and allow advisors to focus on what matters most—helping clients achieve their financial goals with confidence.”
BNY is just the latest financial advisory firm to boost its alts business.
Last week, Cetera Investment Management announced the launch of its first model portfolio featuring alternative investments.
Earlier this year, in February, LPL launched a full-service alternative investment platform, LPL Alts Connect, powered by alts tech support provider SUBSCRIBE. In April, Edward Jones partnered with alternative investment platform CAIS to add alternative investment options for its high-net-worth clients through Edward Jones Generations, its private client service. In May, MAI Capital integrated iCapital technology into its in-house platform to help build custom portfolios featuring alternative investments.
A recent survey by the Financial Planning Association and the Journal of Financial Planning found that financial planners have significantly scaled up their use of alternatives over the past year. For example, the share of financial planners who allocated their clients’ money to REITs, hedge funds or private debt strategies rose by over 50% from 2024 to 2025. Meanwhile, a report from FUSE Research Network from earlier this year forecast that alternative assets under management within the U.S. wealth management channels will rise to $3.03 trillion over the next four years, representing a compound annual growth rate of 17%.
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