Bank of Singapore and iCapital: New Platform for Alternative Investments

The Bank of Singapore, in collaboration with the global fintech company iCapital, has launched a new digital platform called FIM Alternatives Select. This platform is aimed at the bank's financial intermediaries, also known as independent asset managers. With this initiative, the bank aims to increase the assets under management for financial intermediaries by 50% between 2024 and 2026. The fintech company iCapital connects asset managers, advisors, and their clients with hedge funds, private equity firms, and other alternative asset managers through its technological infrastructure. As of September 2024, the assets invested via iCapital's platform exceeded the $200 billion mark. The platform provides users access to more than 1,600 funds from over 600 asset managers. Particularly in the Asian market, platforms like iCapital offer access to alternative investments, providing banks and clients with economies of scale in terms of reach and efficiency. Traditionally, private banks promote between two and six alternative funds annually. FIM Alternatives Select will offer nearly 30 funds from renowned asset managers like KKR, The Carlyle Group, and Apollo. This enables clients and partners to pursue diverse investment strategies. Additionally, the use of iCapital's comprehensive market analysis and tools for well-founded evaluation of alternative investment opportunities will be provided. Alternative investments are gaining increasing importance as investors seek to diversify their portfolios, reduce risks, and achieve more consistent returns. Forecasts by Preqin, a private capital database provider, suggest that the global market for alternative investments could grow to over $30 trillion by 2030. For the Bank of Singapore, in particular, alternative investments represent a significant growth area. By September 2024, the segment of financial intermediaries recorded an increase in assets invested by almost 30% compared to the previous year. Between 2019 and 2023, assets under management in this area grew at an average annual growth rate of nearly 20%.