Charles Schwab Expands Alts Platform to HNW Retail Clients

Charles Schwab has launched Schwab Alternative Investments Select, a new platform in partnership with iCapital, to provide high-net-worth clients with over $5 million in household assets at Schwab, including those in Schwab Wealth Advisory, access to alternative investments. The platform offers a curated range of third-party funds in private equity, hedge funds, private credit, and private real estate.

Clients gain support from alternative investment consultants for education and guidance. Schwab plans to expand the platform with additional asset classes, such as ETFs, and more options within existing categories. Initially rolled out to a select group in October 2024, the platform is now open to qualifying retail clients.

Neesha Hathi, head of Schwab Wealth and Advice Solutions, emphasized the platform’s role in serving Schwab’s rapidly growing high-net-worth and ultra-high-net-worth client base. Jonathan Craig, head of investor services, noted that Schwab manages over $3 trillion in assets for more than a million multimillionaire investors, catering to clients across all wealth levels.

Schwab automatically enrolls retail clients with over $1 million in Schwab Private Client Services and those with over $10 million in Schwab Private Wealth Services. Over 37% of independent advisors custodying with Schwab use its alternative investment platforms, including Schwab Alternative Investment OneSource, with $58 billion in alternative assets under custody.