iCapital Acquires Hexure to Enhance Life Insurance Technology

iCapital has announced the acquisition of Hexure, a company specializing in life insurance and annuity sales software, for an undisclosed amount. This strategic acquisition aims to enhance iCapital's technological prowess, enabling the development of a robust technology platform for annuities and insurance tailored for financial advisors. The forthcoming platform will seamlessly integrate with iCapital’s existing alternatives and structured investments offerings, thereby expanding its marketplace capabilities.

Currently, iCapital provides a marketplace for annuities, enriched with educational resources and investment management tools. This acquisition follows its 2022 purchase of SIMON Markets, which brought a wealth of structured products and annuities from over 50 investment managers into its fold. By acquiring Hexure, iCapital gains access to advanced technology like an AI-powered e-application system and FireLight’s digital sales capabilities, along with ForeSight’s illustration services. These enhancements aim to streamline the acquisition process for advisors’ clients and ensure compliance with regulatory requirements.

Lawrence Calcano, chairman and CEO of iCapital, affirmed that integrating these technologies will amplify the value advisors provide, especially in education and post-investment actions. He emphasized the significance of direct acquisition capabilities for annuities and life insurance, marking it as a crucial advancement. Calcano also highlighted the ongoing convergence of financial products such as alternatives, structured products, and insurance solutions, offering examples like hedge funds wrapped in life or annuity contracts for optimal tax results. He sees further potential for product integration, ultimately delivering improved outcomes for advisors and their clients.