iCapital to Acquire Hexure Insurance Tech Platform
Alternative investment platform iCapital has agreed to buy Hexure, a provider of life insurance and annuity sales software, for an undisclosed amount.
iCapital plans to use Hexure to create an end-to-end annuity and insurance technology platform for its financial advisor clients that will be connected to its alternatives and structured investments platform.
iCapital already operates an annuity marketplace that also provides education and investment cycle management tools. Back in 2022, it bought SIMON Markets, a Goldman Sachs spinoff platform that brought with it over 50 investment managers of structured products and annuities. The Hexure acquisition will allow iCapital to take advantage of the firm’s AI-enabled e-application, illustration and post-sale workflow technology. Hexure’s FireLight digital sales platform and ForeSight illustration technology will be integrated into the broader iCapital platform.
According to Lawrence Calcano, iCapital chairman and CEO, while the platform’s annuities vertical was already providing education and some post-investment capabilities for advisors, the e-application will make it possible for them to acquire annuities and life insurance for clients, while the illustration technology will help ensure that they are staying compliant with insurance regulations.
According to 2025 data from LIMRA, retail annuity sales in the U.S. have totaled over $115 billion for eight straight quarters through the third quarter of last year. However, almost a third of financial professionals (29%) surveyed by JD Power last year said their insurance and annuity providers’ digital portals fall short on design and ease of use. Another 20% said their providers needed to create better self-service capabilities.
“Increasingly, there is convergence between alternatives, structured products and life insurance/annuities,” said Calcano. “We’ve seen, for example, hedge funds being wrapped in life contracts or annuity contracts to create better tax outcomes. So, I think there is an opportunity to continue to consolidate and integrate products in such a way that they create great outcomes for advisors and clients.”