MAI Capital joins forces with iCapital to digitise alternatives platform amid rising private market allocations

MAI Capital Management LLC has announced a major partnership with iCapital, a global fintech provider of private market access, as it seeks to enhance its capabilities in the growing alternatives investment space. The integration of iCapital’s digital infrastructure into MAI’s custom platform marks a significant operational shift aimed at streamlining how the registered investment adviser administers private equity, hedge funds, private credit, and other non-traditional asset classes for high-net-worth (HNW) and ultra-high-net-worth (UHNW) clients.

This move comes amid a broader industry transition towards digitised access to complex investment vehicles, reflecting evolving investor demand for diversification, yield generation, and intergenerational wealth strategies. As the appetite for alternative investments continues to expand among sophisticated investors, firms like MAI are prioritising operational efficiency and digital scalability in their core platforms.

Why Is MAI Capital Partnering with iCapital Now?

The timing of MAI’s collaboration with iCapital reflects heightened momentum in private market adoption across the wealth management industry. According to research by Preqin and Bain & Company, alternative assets are projected to exceed $23 trillion globally by 2027, driven largely by increased demand among individual investors who previously lacked access.

Kurt Nye, Chief Investment Officer and Managing Partner at MAI Capital, explained that the decision to integrate iCapital’s infrastructure was motivated by a need to offload operational burdens and focus more deeply on strategic portfolio construction and client engagement. He added that the firm sought a partner with scale, flexibility, and a proven track record in automating private market operations.

With iCapital’s platform, MAI advisors gain access to a suite of tools for fund data reconciliation, document handling, due diligence, portfolio customisation, and compliance oversight. The system also offers real-time analytics and secure infrastructure to streamline complex fund workflows—an area long considered a bottleneck for RIAs managing alternatives.

How Will This Integration Change MAI’s Operations?

The adoption of iCapital’s enterprise solution is expected to significantly reduce manual processing across MAI’s $33.2 billion asset base. As of 31 March 2025, MAI Capital’s total assets include $3.9 billion in assets under advisement, a category that comprises externally managed strategies and model-based client accounts. By reducing administrative friction, the firm intends to redeploy advisor bandwidth toward strategic asset allocation, tax optimisation, and holistic financial planning.

Advisors can now build tailored alternative investment portfolios for clients without navigating the traditional documentation-heavy landscape. Due diligence processes will also benefit from centralised data access and integrated analytics. Additionally, iCapital will assume management responsibility for certain existing MAI-managed alternative funds as part of the agreement, ensuring operational continuity during the transition.

What Does This Mean for Alternative Investments in Wealth Management?

This strategic move underscores a defining trend in the modern wealth management ecosystem: the convergence of alternative investments and digital automation. As more financial advisors seek access to institutional-quality private market strategies, fintech platforms like iCapital are becoming essential infrastructure.

Steve Houston, Managing Director and Co-Head of iCapital Solutions, noted that MAI’s selection of iCapital highlights growing advisor demand for seamless private market integration. He said that helping advisors “scale without losing sight of what matters” is the shared objective of both firms, especially as private market allocations grow in importance.

iCapital has become a cornerstone for this transition, having processed $880 billion in global volume activity to date, including $220 billion in alternative assets. Its footprint spans 16 offices across financial centres including New York, London, Zurich, Hong Kong, and Singapore, supported by a workforce of over 1,750 professionals.

How Is MAI Positioned Against Industry Peers?

Founded in 1973 and headquartered in Cleveland, Ohio, MAI Capital Management operates 32 offices across the United States and employs more than 500 staff. The firm is best known for its tailored approach to wealth management, including estate planning, tax advisory, investment strategy, insurance, and philanthropic consulting.

MAI’s clientele includes prominent athletes, entertainers, and multi-generational family offices—segments where alternative investments play a crucial role in diversifying risk and maintaining long-term financial resilience. Through its private markets platform, MAI offers exposure to a wide range of strategies, from venture capital and real assets to structured credit and hedge funds.

The integration of iCapital is expected to provide MAI with a competitive edge over similarly sized RIAs that lack comparable digital investment capabilities. It also reinforces MAI’s long-term strategy of building a scalable yet high-touch advisory experience across geographies and asset classes.

What Are Analysts Saying About This Partnership?

While neither MAI Capital nor iCapital is publicly listed, industry observers have framed the partnership as part of a broader shift in RIA technology adoption. Fintech analysts tracking trends in wealth tech and advisor platforms see the deal as a signal that mid-to-large RIAs are ready to invest in institutional-grade infrastructure to future-proof their operations.

The alternative investments sector, once considered the preserve of institutional investors and hedge funds, is increasingly being democratized. Fintech partnerships such as this one reflect the wealth management sector’s intent to remain competitive amid rising client expectations and the push for real-time, data-driven advice.

Experts have noted that digital platforms not only reduce operational risk but also improve compliance traceability—an essential feature in a regulatory environment that is growing more stringent on alternatives disclosure and suitability.

Could This Signal Broader Adoption Across the RIA Landscape?

The success of this integration could catalyse wider adoption among mid-size advisory firms that have been hesitant to onboard alternative platforms due to operational complexity. As digital infrastructure proves its value in improving advisor efficiency and investor outcomes, similar partnerships may follow across the wealth management sector.

Moreover, the scalability of iCapital’s platform could open up more use cases around investor education, fund analytics, and potentially, AI-driven portfolio customisation in the near future. MAI’s early alignment with a tech-forward model may position it well to capture a larger share of HNW and UHNW client flows, particularly those seeking bespoke private market exposure.

Although no direct public market sentiment applies to these private entities, institutional flow into fintech-enabling alternatives has risen sharply. Venture capital interest in advisor-focused platforms has grown, and major wirehouses and custodians have begun integrating similar capabilities to retain advisor business.

Within private equity, iCapital-backed portfolios have gained traction among fee-based advisors seeking to differentiate from traditional 60/40 models. This is consistent with current asset allocation trends in family office and endowment-style portfolios, which often carry 15–30% exposure to private markets.

The broader institutional sentiment remains positive for platforms that simplify alternatives delivery while enabling compliance and data-driven decision-making at scale.

What Lies Ahead for MAI Capital and iCapital?

Looking forward, the MAI-iCapital partnership could evolve into deeper strategic alignment in areas such as artificial intelligence, real-time reporting, and advanced portfolio construction tools. With both firms positioned at the intersection of wealth management and fintech, the collaboration could shape emerging best practices for alternative investments among RIAs.

Industry watchers expect continued consolidation in the advisory tech space, with more firms seeking out partners to handle back-end investment operations, freeing advisors to focus on client outcomes. For MAI, the digital pivot may also support future M&A activity or capital inflows from institutions seeking turnkey advisory solutions.

As alternative investments become a core feature of modern portfolios, seamless access and administration will be key differentiators for firms seeking to lead in the next phase of wealth management innovation.