- Charles Schwab introduces a new alternative investments platform for clients with over $5 million in household assets.
- The platform offers access to private equity, hedge funds, private credit, and private real estate.
- Approximately 37% of Schwab-affiliated advisors already use alternative investment platforms, with $58 billion in assets under custody.
Charles Schwab (SCHW, Financial) has launched Schwab Alternative Investments Select, a new platform specifically designed to meet the needs of high net worth (HNW) and ultra-high net worth (UHNW) retail clients. The platform is available to clients with more than $5 million in household assets and provides access to third-party alternative investment funds, including private equity, hedge funds, private credit, and private real estate.
The launch of this platform is supported by iCapital's technology, ensuring a streamlined and digitized investment experience for clients. Schwab is enhancing its offering as over half of its high-net-worth clients plan to allocate at least 5% of their portfolios to alternative investments within the next three years.
Schwab serves over a million multimillionaire investors, managing more than $3 trillion in assets. It automatically enrolls clients with over $1 million in Schwab Private Client Services and those with over $10 million in Schwab Private Wealth Services. Currently, 37% of advisors custodying at Schwab use alternative investment platforms, with $58 billion in alternative assets under custody.
A statement from Neesha Hathi, Head of Schwab Wealth & Advice Solutions, highlights the importance of this launch in meeting the evolving needs and preferences of Schwab's sizable HNW and UHNW client base. The firm remains committed to expanding its capabilities to better serve its affluent clientele.
