The Bank of New York Mellon Corporation (“BNY“) (NYSE: BK), a global financial services company, has today announced Alts BridgeSM (“Alts Bridge”), a comprehensive data, software, and services solution built to meet the growing demand from wealth intermediaries looking to access alternative and private market investment products, through a simplified end-to-end investment experience.
Designed to deeply integrate into intermediaries’ existing desktops, beginning with BNY Pershing X’s Wove advisory platform and NetX360+, with cutting-edge AI and analytics tools that are designed to reduce manual processing and error rates, Alts Bridge creates a powerful solution for investors, advisors, and the home office. The platform will provide access to a curated, comprehensive suite of leading alternative and private market asset managers from around the world, a selection including 26 North, AB CarVal, Alternatives by Franklin Templeton, Apollo, Atalaya, Aviva Investors, Blue Owl Capital, Carlyle, CIFC, Coller Capital, Crescent Capital, Eisler Capital, Generali, GoldenTree, Goldman Sachs, Hunter Point Capital, Invesco, KKR, Lexington Partners a Franklin Templeton Company, Lunate, Marathon Asset Management, Partners Group, Polen Capital, RCP Advisors, and Stormfield Capital.
“Powered by BNY’s data and technology, Alts Bridge will connect clients across the wealth ecosystem and alternative markets in a unique and more seamless way. As a firm that supports more than $2.6 trillion of wealth assets[1] and has relationships with more than 500 leading alternative managers, we believe we are uniquely positioned to unlock this market,” said Akash Shah, Chief Growth Officer and Head of Growth Ventures at BNY. “We’re combining the breadth and depth of BNY’s distribution team with our expertise across investment management, advisory, securities services, wealth technology, and wealth custody and clearing, enabling Alts Bridge to provide a comprehensive solution to find, access, and custody alternative and private market assets.”
The platform will offer features across the pre-, at- and post-trade processes, including an advisor education and fund discovery center, home office and asset manager tools, product overviews, automated document preparation, simplified order entry, and integrated reporting and investment management capabilities.
“We consistently hear from advisors that they want to allocate more to alternatives and private markets but are limited by operational complexity and significant additional resource requirements. We’re incredibly proud to deliver the alternative investment experience that advisors and their clients expect and deserve,” said David Moss, Head of Alts Bridge at BNY. “We’re addressing challenges that have persisted for decades and delivering cutting edge tools. For advisors, we are making alternatives easier. And for asset managers, Alts Bridge delivers scalable, efficient access to the growing wealth channel.”
While 90% of advisors are targeting a 10-15% average portfolio weighting to alternative and private market investments, actual allocations remain in the low single digits. Global alternative assets under management are expected to reach $24.5trn in 2028, representing a forecast annualized growth rate of 8.4% from 2022 to 2028.[2]
“Having been at the forefront of developing private markets products for the wealth space, we welcome this initiative to simplify access for investors while ensuring they have the resources, they need to make informed, long-term investment decisions,” said Robert Collins, Global Co-Head of Private Wealth at Partners Group.
“The shifting investable landscape between public and private securities is a secular trend for our industry. Invesco is excited to work with Alts Bridge to help investors navigate this landscape with an industry-leading client experience, educational resources, and investment capabilities,” said Clint Harris, Head of Wealth Management Platforms and Institutional Consultant Relations at Invesco.
The platform is expected to be available to U.S. Registered Investment Advisors (RIAs) and Independent Broker-Dealers (IBDs) in fall 2024. The initial platform will be available to clients of BNY Pershing.