Citi offloads alternative investments feeder platform to iCapital

By Gloria Methri

Citi has announced the sale of its global alternatives feeder fund platform—managed via its indirect subsidiary Citi Global Alternatives, LLC—to iCapital®. The strategic move forms part of Citi’s broader effort to streamline its wealth management operations while retaining distribution and advisory capabilities for alternative investments.

The platform, acquired by iCapital, includes more than 180 alternative investment funds across private equity, private credit, infrastructure, venture capital, real estate, hedge funds and other strategies, distributed globally through Citi Wealth. Under the new arrangement, iCapital will assume responsibility for the end-to-end operations and management of these funds, bringing its digital infrastructure and automation to Citi’s global alternatives offering.

“This transaction allows us to enhance efficiency in our wealth management platform while continuing to provide our clients with best-in-class access to alternative investment opportunities,” said Daniel O’Donnell, Head of Citi Wealth Alternatives and Investment Manager Solutions. “Citi Wealth already has a strong working relationship with iCapital on alternative solutions, and we are excited to deepen that relationship with this strategic move.”

iCapital will also deliver a comprehensive end-to-end technology solution for all of Citi Wealth’s alternative investment structures and will manage the operational aspects of the feeder fund platform. Citi will remain the primary distributor of the funds, continuing to advise clients on portfolio strategy and the role of alternative assets within diversified portfolios.

“We are excited to partner with Citi Wealth to drive growth for their alternatives business globally,” said Lawrence Calcano, Chairman and CEO of iCapital. “Our platform will streamline operations, and our dedicated alternatives team will support Citi’s distribution and product expansion efforts, ensuring seamless advisor support across all asset classes and structures.”

This marks the latest in a series of platform acquisitions by iCapital, which has become the go-to consolidator for fund platforms seeking enhanced scalability, technology integration, and operational efficiency.