For the third time in a month, Charles Schwab is announcing a new offering — this time, an alternative investment platform for independent financial advisors and their clients.
The Schwab Alternative Investment Marketplace provides those advisors and their high-net-worth clients access to third-party platform sponsors that offer menus of private funds. iCapital Network, a financial technology platform, is the first third-party platform provider to join.
The announcement of the new platform follows Schwab’s elimination of commissions on online stock, ETF and options trades and its plans to allow for the trading of fractional shares.
In addition to providing access to alternative funds, Schwab’s new marketplace streamlines capital call processing and excludes custodial fees. The minimum investment is $100,000, and clients must also meet eligibility requirements set by the third-party platform sponsor and fund issuer.