Merrill Wealth Management and Bank of America Private Bank are rolling out a new private market access program for ultra-high-net-worth clients, the BofA businesses announced Thursday.
Available this fall to clients with at least a $50 million net worth, the Alts Expanded Access Program aims to complement the investment options already offered through the firm's core alternative investments platform, enabling qualified investors to allocate more to alternatives as part of a diversified portfolio.
“Traditionally, private market alternatives were the domain of institutional investors, but as wealth building needs have evolved, we’re seeing more clients seek nontraditional investments, fueled by market changes and the desire to diversify,” Mark Sutterlin, alternative investments head for Merrill and Bank of America Private Bank, said.
The funds aren't broadly distributed and provide access to specialized opportunities in emerging themes, niche strategies and evolving sectors, BofA said. Clients' advisor or team can guide fund selection by providing fund manager material and helping them understand the process.
The 2024 Bank of America Private Bank Study of Wealthy Americans underscored the growing interest in alternatives, particularly among young high-net-worth investors, according to BofA. Alternatives comprised 17% of portfolio allocations, and 93% of those surveyed planned to increase their allocations to alternatives in coming years.
"This program is part of our broader commitment to meet the evolving needs of UHNW clients with increasingly complex financial goals,” Sutterlin said.
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