Standard Chartered unveils sports investing opportunities for high net worth clients.

Standard Chartered has just launched a new alternative fund focused on sports for ultra-high net worth and high net worth clients under its Global Private Bank. 

With major sports leagues and teams seeking alternative financing options, the industry has seen a growing trend in sports investing as a new investment avenue, the firm said in a statement. Recent high-profile sports-related transactions among leading family offices have increased sports investing as an alternative asset class for UHNW individuals wanting to strengthen and diversify their portfolios.

The firm highlighted how the media industry has seen a growth in media contract value of 16 to 17 per cent in the last 10 years, with major sports leagues around the world signing record-breaking broadcasting deals. The steady revenue-generating model in sports has been gaining the interest of private investors. The newly-launched fund, managed by a global alternative investment manager, focuses on sports, media and entertainment opportunities, tapping into this growing interest in sports investing. Standard Chartered is one of the first banks to launch this fund. 

“We have observed strong growing interest from our clients in alternative asset classes such as sports investing. The growing media industry is an impetus for us to act now,” Samir Subberwal, global head, wealth solutions, deposits and mortgages, and chief client officer, said. “It is therefore timely to leverage the strong expertise of leading global fund managers to connect our high net worth clients to professionally managed solutions that provide access to hard-to-access opportunities.”

“As clients increasingly look to incorporate alternatives into their portfolios to achieve greater diversity and long-term growth, the new fund offers a professionally managed solution for our clients to access high-quality private market opportunities with institutional-grade risk management and oversight,” Sumeet Bhambri, global head, advisory and managed investments, wealth solutions, Standard Chartered, added.

In February this year, the bank rolled out a European private credit strategy fund amid strong demand for European private credit. It also launched the Private Markets Co-Investment Club, with an exclusive partnership with Ardian, to provide UHNW clients with direct access to co-investment opportunities in the private markets.

The story is also an example of how the worlds of investment, sponsorship and sports overlap. As eagle-eyed views of the Master's golf tournament in Augusta would have seen over the past weekend, banks such as Berenberg and Morgan Stanley are among the sponsors of individual sportsmen, who act as brand ambassadors; UBS, the Swiss bank, is a partner with the Mercedes-AMG PETRONAS Formula 1 team. And in the case of Standard Chartered, it sponsors Liverpool FC, tapping into the popularity of English Premier League teams around the world, such as in Asia.