NEW YORK, Sept. 20, 2021 /PRNewswire/ -- Neuberger Berman, a private, independent, employee-owned investment manager, today announced a partnership with iCapital Network® 1, the leading global financial technology platform driving access and efficiency in alternative investing for the asset and wealth management industries, in which iCapital will provide a customized technology, service, advisory and distribution solution for financial advisors and their high-net-worth clients seeking access to the NB Crossroads Private Markets Access Fund LLC ("Access Fund").
Launched in January 2021, the Access Fund is a 1933 and 1940 Act registered, continually offered closed-end fund designed to provide increased access to private equity investments to a broader group of investors than traditional private equity funds. The Access Fund invests across a variety of private equity sponsors, industries, geographies, market caps and vintage years. Its portfolio of private investments includes direct co-investments and secondary investments alongside top-tier private equity partners. As of September 1, 2021, it surpassed $300 million of assets. More information on the Access Fund is available here.
Designed to overcome many of the long-standing challenges of investing in alternatives, the iCapital technology and service offering digitalizes the subscription, administration, operational and reporting processes. iCapital also provides a full suite of research, due diligence and educational materials to advisors and their clients.
"We launched the Access Fund in large part because of a long-standing belief that private equity should be accessible to a broader scope of investors," said Tony Tutrone, Head of Neuberger Berman Alternatives. "In partnering with iCapital, we're further fulfilling that goal by delivering private equity access with a user-friendly platform. We're excited to provide investors with direct exposure to an asset class, which is a key driver of diversified returns and risk, and that is already a key component of many institutional investors' portfolios, including major pension funds."
"Advisors are increasingly seeking quality registered fund offerings to meet their clients' growing appetite for alternative investments such as private equity, as a way to diversify portfolios," said Lawrence Calcano, Chairman and CEO of iCapital Network. "We are excited to help open up access to one of the most respected investment managers with an innovative product customized for accredited investors to help meet that growing demand."
The Access Fund will present investors with the opportunity to gain exposure to the same co-invest and secondary investment programs as the firm's institutional clients. The partnership provides an important way to potentially optimize returns while also diversifying investors' portfolios. Neuberger Berman has more than $80 billion in private market assets under management combined with its 70 years of experience with registered fund vehicles.
About Neuberger Berman
Neuberger Berman, founded in 1939, is a private, independent, employee-owned investment manager. The firm manages a range of strategies—including equity, fixed income, quantitative and multi-asset class, private equity, real estate and hedge funds—on behalf of institutions, advisors and individual investors globally. With offices in 25 countries, Neuberger Berman's diverse team has over 2,300 professionals. For seven consecutive years, the company has been named first or second in Pensions & Investments Best Places to Work in Money Management survey (among those with 1,000 employees or more). In 2020, the PRI named Neuberger Berman a Leader, a designation awarded to fewer than 1% of investment firms for excellence in Environmental, Social and Governance (ESG) practices. The PRI also awarded Neuberger Berman an A+ in every eligible category for our approach to ESG integration across asset classes. The firm manages $433 billion in client assets as of June 30, 2021. For more information, please visit our website at www.nb.com.
About iCapital Network
Founded in 2013 in NYC, iCapital Network is the leading global financial technology company powering the world's alternative investment marketplace. It has transformed the way the wealth management, banking, and asset management industries facilitate access to private markets investments for their high-net-worth clients by providing intuitive, end-to-end technology and service solutions. Wealth management firms use iCapital's solutions to provide clients with quality funds at lower minimums and simplified digital workflows. Asset managers and banks leverage iCapital's technology to streamline and scale their private investments operational infrastructure. Additionally, the iCapital 'flagship' platform offers financial advisors and their high-net-worth clients access to a curated menu of private equity, private credit, hedge funds, and other alternative investments to help meet their investing needs for return and diversification. iCapital's research and diligence team offers robust analysis alongside the firm's extensive suite of advisor education, compliance, portfolio management, and portfolio analytics tools and services. iCapital was recognized on the Forbes FinTech 50 list in 2018, 2019, 2020 and 2021, the Forbes America's Best Startup Employers in 2021, and MMI/Barron's Industry Awards as Solutions Provider of the Year in 2020. As of July 31, 2021, iCapital services more than $83 billion in global client assets across more than 780 funds. Employing more than 480 people globally, iCapital is headquartered in NYC and has offices in Zurich, London, Lisbon, and Hong Kong.
An investor should consider the Fund's investment objectives, risks and fees and expenses carefully before investing. This and other important information can be found in the Fund's prospectus, which an investor can obtain by calling 617-619-4690 or by emailing [email protected]. Please read the prospectus carefully before making an investment.
IMPORTANT NOTE ON INVESTOR ELIGIBILITY: Please note that the Fund will sell its limited liability company interests ("shares") only to eligible investors that are both "accredited investors," as defined in Section 501(a) of Regulation D under the Securities Act of 1933, as amended, and "qualified clients" as defined in Rule 205-3 under the Investment Advisers Act of 1940, as amended. In addition, shares are generally being offered only to investors that are U.S. persons for U.S. federal income tax purposes. The qualifications required to invest in the Fund will appear in subscription documents that must be completed by each prospective investor
An investment in the Fund involves a high degree of risk and therefore should only be undertaken by qualified investors whose financial resources are sufficient to enable them to assume these risks and to bear the loss of all or part of their investment. The Fund is registered under the Investment Company Act of 1940, as amended, as a non-diversified, closed-end management investment company. The Fund and Neuberger Berman do not guarantee any level of return or risk on investments and there can be no assurance that the Fund's investment objective will be achieved.
The Fund is a newly organized fund with no operating history. The Fund's investment program is speculative and entails substantial risks. Investors should consult with their own financial, legal, investment and tax advisors prior to investing in the Fund. There is no assurance that the investments held by the Fund will be profitable, that there will be proceeds from such investments available for distribution to investors, or that the Fund will achieve its investment objective. There can be no assurance that projected or targeted returns for the Fund will be achieved.
An investment in the Fund should be considered illiquid. An investment in the Fund is not suitable for investors who need access to the money they invest. Although the Fund may offer to repurchase a limited amount of the Fund's shares from time to time via quarterly repurchase offers, the Fund's shares will not be redeemable at an investor's option nor will they be exchangeable for shares of any other fund. As a result, an investor may not be able to sell or otherwise liquidate his or her shares. There can be no assurance that the Fund will conduct repurchase offers in any particular period and investors may be unable to tender their shares for repurchase for an indefinite period of time.
There will be a substantial period of time between the date as of which investors must submit a request to have their shares repurchased and the date they can expect to receive payment for their shares from the Fund. The Board of the Fund may under certain circumstances elect to postpone, suspend or terminate an offer to repurchase shares.
The Fund's shares are not listed, and are not expected to be listed, for trading on any securities exchange, and the Fund does not expect any secondary market to develop for its shares in the foreseeable future. The Fund's shares are subject to substantial restrictions on transferability and resale and may not be transferred or resold except as permitted under the Fund's limited liability company agreement.
A substantial portion of the Fund's assets are expected to consist of direct investments in private companies as well as investments in private equity portfolio funds that primarily invest in securities of private companies. Investments in private companies involve a high degree of business and financial risk that can result in substantial losses. Operating results for private companies in a specified period will be difficult to predict.
The Fund's private equity investments will be illiquid and typically cannot be transferred or redeemed for a substantial period of time. The Fund's private equity investments in most cases will be highly illiquid and difficult to value. Unless and until those investments are sold or mature into marketable securities, they will remain illiquid.
The Fund intends to elect for treatment, and to qualify each year to be treated, as a regulated investment company or a "RIC." As such, the Fund must satisfy, among other requirements, certain ongoing asset diversification, source-of-income and annual distribution requirements. If the Fund fails to qualify as a RIC it will become subject to corporate-level income tax, and the resulting corporate taxes could substantially reduce the Fund's net assets, the amount of income available for distributions to investors, the amount of distributions and the amount of funds available for new investments. All information is as June 30, 2021 unless otherwise indicated and is subject to change without notice. Firm data, including employee and assets under management figures, reflects collective data for the various affiliated investment advisers that are subsidiaries of Neuberger Berman Group LLC. Firm history/timeline includes the history of all firm subsidiaries, including predecessor entities and acquisitions.
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