The focus on how to expand access to private market assets, which typically offer higher yields in return for less liquidity, has intensified in recent years.

SeaTown Holdings International, an investment firm backed by Singapore’s Temasek, is raising funds for its private capital fund for the first time from individual investors. As part of that effort, it is offering “fractional” ownership through the use of digital technology. 
 
To target mass-affluent Singaporean clients, SeaTown has partnered with digital wealth management platform Kristal.AI.

Investors will be able to participate with a minimum investment from as low as $100,000. Accredited Investors from the mass affluent segment can now access a premium product traditionally reserved for HWN individuals and institutional investors.

“We have seen rapidly rising demand for private equity and private market products in recent years. This used to be an exclusive space for institutional investors, but now technology and platforms have enabled individual investors to participate in such deals as well,” Vivek Mohindra, co-founder of Kristal.AI, said. “By fractionalising and reducing the minimum investment, a much larger client pool can now access premium investment products, and better diversify their investment portfolios.”

This news service wrote here recently about how digital assets and technologies such as “tokenization” are affecting the wealth management sector.

Temasek and SeaTown have committed $1 billion to this fund, and SeaTown targets another $200 to 300 million from external investors. The fund is geographically diversified but retains a focus on Asia.

The focus on how to expand access to private market assets, which typically offer higher yields in return for less liquidity, has intensified in recent years. A number of firms, such as iCapital Network, CAIS and Moonfare, among others, have pushed into the "access" space.