Integrated platform provider Hub24 has purchased a minority holding in a private equity investment firm and plans to use it to develop new alternative investment products for the retail market.
Hub24 stated it had entered into a ‘strategic alliance’ with Reach Alternative Investments as part of taking on the equity holding of less than 15 per cent which will see it work with the investment manager, and possibly other firms, “to co-design innovative products and solutions to offer a broader range of alternative investment solutions for advisers and their clients”.
The listed firm noted that Reach Alternatives was currently working with six global alternative asset managers providing access to private equity and private credit investments not generally available in Australia.
Hub24 director of strategic development Jason Entwistle explained the investment was in line with its strategy to collaborate with industry providers to develop products that met the emerging client needs of advisers.
“We’re delighted to be partnering with the team at Reach Alternatives who facilitate access to high-quality private market investments in Australia. Accessing institutional grade alternative investments has traditionally been difficult for advisers and their clients,” Entwistle said.
Reach Alternatives chief executive Sam Phillips added, “This strategic investment validates our business and enhances our ability to scale and bring high-quality private market investments to a broader audience.”
“Together, we are focused on delivering solutions that remove the barriers to private markets while offering HNW investors access to some of the most proven asset managers globally.”
HUB24 is the owner of the HUB24 Platform, HUBconnect, SMSF administration firm Class NowInfinity and myprosperity while Reach Alternatives has partnership arrangements with investment managers EQT, PGIM Real Estate, Apollo, TPG, BlackRock and Bain Capital.
