Praemium enters strategic partnership with alternative investments platform
Praemium has entered into a strategic partnership with alternative investments platform Stropro.
This will help financial advisers to access structured products and integrate Stropro’s experience in the products and relationship with investment banks to the Praemium platform.
Stropro was launched in 2019 and describes itself as a provider of access to alternative investments via an investment platform.
Praemium said it highlights the two firms’ commitment to innovation in financial services and empowering advisers. It will also offer them more effective tools to diversify and de-risk portfolios, offer customised investment solutions and improved pricing.
The partnership will include:
- Access to structured product education: Comprehensive resources to improve understanding and application of structured products in client portfolios.
- Enhanced product design: Tailored investment solutions that align with specific client objectives.
- Seamless integration: Simplified management, reporting and analytics for structured products through Praemium’s platform.
James Edmonds, chief operating officer (COO) at Praemium, said: “Structured products are an increasingly important tool for financial advisers to deliver customised solutions and meet the complex needs of HNW clients. This partnership enhances our proposition by incorporating Stropro’s structured product capabilities within our new Spectrum product, enabling advisers to expand their offering and engage with their clients on new investment opportunities.”
Ben Streater, COO of Stropro, stated: “Praemium’s advisers will have the unique opportunity to work directly with Stropro’s investment desk. Our approach provides advisers with tailored education for themselves and their clients, enhanced product solutioning, competitive structured product pricing, and advanced reporting tools to support better decision-making and investment outcomes.”
The platform previously shared that advisers are looking for alternatives to service their high-net-worth (HNW) clients who are using them at a greater volume than non-HNW ones.
Some 69 per cent of HNW advisers are largely expecting to hold alternatives in client portfolios in the coming years compared to just over a third of non-HNW advisers.
Presently, HNW-focused advisers allocate around 9 per cent in alternatives, and this figure climbs to 14 per cent for advisers who are managing client portfolios of $20 million or more. Meanwhile, non-HNW advisers are allocating only 4 per cent to alternatives.
According to PwC, alternative assets are set to reach US$21.2 trillion ($31.9 trillion) by 2025, when they will account for 15 per cent of total global assets under management.
In September, rival platform HUB24 announced it has taken a minority stake in Reach Alternative Investments to offer a broader range of alternative products to financial advisers.
As part of this, HUB24 will collaborate with the team at Reach and potentially other industry providers to co-design innovative products and solutions to offer a broader range of alternative investment solutions for advisers and their clients.
AUTHOR
Laura Dew
Recommended for you
Pacific Current Group has completed the divestment of its holding in Carlisle Management Company to alternative asset manager Abacus Life.
Nuveen has announced the launch of a new private credit fund for Australian wholesale investors in response to “strong interest” from family offices and HNWIs for private markets solutions.
Asset managers are seeking out acquisitions and strategic partnerships in the area of technology and robo-advice to benefit from an evolving wealth management landscape and futureproof their business.
OC Funds Management and PAN-Tribal Asset Management have both launched equity funds, investing in Australian mid-caps and global equities, respectively.
