Bridging Private Markets (iCapital + LYNK Markets

Bridging Private Markets: How iCapital and LYNK Markets Are Expanding Access Through Technology

Introduction – The Technological Turning Point

For decades, private market investments such as private equity, private credit, and hedge funds have been accessible mainly to large institutions and ultra-wealthy families. The opaque nature of limited partnerships, high minimum investment thresholds, and bespoke subscription and settlement processes have deterred many potential investors. Even in developed economies, alternative assets typically comprise less than 20 % of portfolios; in markets like Latin America, the share is often 1–2 %. These structural barriers have become increasingly noticeable as investors search for diversification beyond public equities and bonds.

The partnership between iCapital and LYNK Markets offers a compelling response. Both firms are leaders in the modernization of private market access: iCapital operates a global alternatives marketplace with more than $237 billion in platform assets and connectivity to 703 asset managers across multiple offices, while LYNK Markets specializes in the end-to-end structuring and management of exchange-traded notes (ETNs) that provide exposure to private funds. Their joint Private Alternative Investment Fund Notes (ETN) solution reimagines private fund access by combining distribution scale and education with a robust technology stack and regulatory-grade transparency. Instead of treating “tokenization” as an end, the partnership shows how digital infrastructure—automation, standardized settlement processes, and integrated data reporting—can transform private markets investing into an experience that resembles public market trading.

iCapital’s Contribution: Scale, Distribution, and Education

Founded in 2013, iCapital has grown into one of the largest platforms for alternative investments. As of 31 May 2025, its global platform handled $237 billion in assets across 703 asset managers, 24 structured investment issuers, and 30 insurance carriers. Operating through 16 international offices—including Zurich, London, Lisbon, Hong Kong, and Singapore—iCapital supports 1 940 funds and employs 1 875 people. The company’s mission is to “power the world’s alternative investment marketplace,” and its platform accomplishes this in three ways:

• Product Breadth and Access – iCapital’s marketplace aggregates hundreds of private funds and structured notes. By negotiating distribution agreements with fund sponsors and providing standardized documentation, iCapital lowers the friction associated with sourcing alternatives. Investors can search across private equity, real estate, private credit, and hedge fund strategies and access due diligence materials and educational content from a single portal.
• Education and Investor Readiness – A major barrier to alternatives adoption is the knowledge gap. iCapital pairs each product listing with educational resources and performance analytics. Its “Learn–Manage–Invest” framework offers due diligence templates, structured product explainers, and risk management tools. This support helps wealth managers guide clients through complex strategies with greater confidence.
• Distribution and Compliance Infrastructure – iCapital’s platform is built for regulated financial intermediaries. It integrates with advisors’ existing workflows and provides tools for suitability analysis, order placement, document retention, and client communications. By centralizing these processes, iCapital ensures consistent compliance with regulatory requirements such as know-your-customer (KYC), anti-money-laundering (AML), and suitability obligations.

These capabilities position iCapital as the distribution engine for the partnership. Its extensive network of wealth platforms and advisors makes it possible to bring private market products to far more investors than a single fund sponsor could reach. For general partners (GPs), this distribution scale helps accelerate fundraising and widen the investor base. For limited partners (LPs), it provides a curated marketplace that goes far beyond the typical two or three funds available on legacy platforms.

LYNK Markets’ Contribution: ETN Lifecycle Management and Transparency

LYNK Markets brings deep expertise in structuring Euroclearable ETNs and managing the entire ETN lifecycle. The company was founded by professionals who collectively have overseen more than 500 product launches and issued over $5 billion in structured securities. LYNK Markets’ value lies in its technology stack and its regulatory and operational framework:

• End-to-End ETN Support – LYNK Markets handles the issuance, settlement, and reporting of ETNs, enabling asset managers to launch products efficiently. Its platform covers everything from creating the legal structure (an Irish issuer enters into a feeder-subscription agreement with a regulated fund) to managing coupon and redemption flows, trustee services, legal advice, auditing, and listing. This comprehensive support allows asset managers to focus on investment management while LYNK Markets handles the operational heavy lifting.
• Global Custody and Settlement Integration – LYNK Markets structures ETNs as Euroclearable notes, each assigned a global ISIN. Trades are settled via standardized delivery-versus-payment (DvP) processes through clearinghouses such as Euroclear and Clearstream. Investors hold the ETNs in their existing custodial accounts, eliminating the need to open special-purpose fund accounts. This integration with global custodians ensures that private market products can move through the same rails as public securities.
• Automation and Reporting – LYNK Markets’ platform automates NAV calculation and reporting. Regular NAV and pricing information are provided through the LYNK•PORT portal, and ISINs are listed on Bloomberg, SIX, and the Vienna Stock Exchange. Asset managers can create ETN fact sheets, update performance data, and share it securely; they maintain full oversight of fundraising activity, investment flows, and trade execution. For investors and advisors, daily pricing and fact sheets help demystify private funds, making them resemble publicly traded securities.
• Regulatory Strength and Institutional Safeguards – By working with trusted third-party custodians and administrators (issuers, paying agents, trustees, law firms, and auditors), LYNK Markets ensures compliance throughout the ETN lifecycle. Investors benefit from enhanced security and transparency, while advisors can satisfy their fiduciary responsibilities.

Technology as the Great Equalizer

ETN technology—the creation of digital instruments representing fund interests—is only one component of a broader technological transformation. The iCapital–LYNK Markets partnership demonstrates that the real value lies in how technology simplifies complexity and standardizes processes. Several features of their ETN highlight this equalizing power:

• Seamless Onboarding – Traditional private fund investments require lengthy subscription agreements, multiple rounds of KYC and AML verification, and manual allocation of capital. The Private Alternative Investment Fund Notes (Private ETNs) eliminate redundant onboarding by allowing investors to purchase ETNs through their existing brokerage accounts. Because the ETNs are securities, existing broker KYC covers the investment, enabling a “click-and-buy” experience.
• Integration with Custodians – Investors hold ETNs in their current custodial accounts, whether with global institutions like Euroclear or local banks. Settlement occurs via standardized DvP processes, meaning the delivery of ETNs is linked directly to the payment of cash. This integration drastically reduces settlement risk and administrative burden compared with traditional private equity subscription processes.
• Transparent Pricing and Regular NAV – The ETNs are assigned global ISINs and traded through Euroclear. NAV and pricing are published through LYNK•PORT, Bloomberg, SIX, and the Vienna Stock Exchange. Unlike many private funds that report quarterly and allow redemptions only after multi-year lockups, the ETN structure provides regular valuation updates and clearer liquidity expectations (though ETNs may still be subject to fund-level liquidity constraints). Public market–style transparency enhances trust and comparability.
• Flexible Fee Structures – The partnership allows for adaptable retrocession and fee arrangements. Wealth managers can choose compensation models that match their client base, while asset managers can structure share classes for different geographies or investors.
• Lower Entry Barriers – Investment minimums as low as $10 000 in Latin America make private funds accessible to a far broader segment of investors. Previously, alternatives often required $200 000 or more. Lower thresholds democratize participation and allow wealth managers to allocate smaller portions of portfolios to illiquid strategies without overconcentration.

By digitizing the full lifecycle—from subscription to settlement, pricing, and reporting—the iCapital–LYNK Markets partnership moves private market investing closer to the “frictionless” experience of buying a mutual fund. For emerging markets and smaller investors, technology becomes the great equalizer.