A secretive wealth manager that invests money for some of the most prominent names in Silicon Valley plans to ramp up its private-equity investing, a move that raises the specter of possible conflicts with some of its clients.
Iconiq Capital LLC, whose early clients included Mark Zuckerberg and Sheryl Sandberg, plans to pursue more buyouts of mature, medium-size technology companies, according to people familiar with the matter.
Iconiq recently hired Arvindh Kumar from tech-focused private-equity firm Thoma Bravo LLC to run the new strategy and expects to make more hires, the people said.
However, a growing focus for Iconiq involves investing its own and clients’ money itself—a typically higher-margin business—rather than through funds managed by others.
Iconiq’s partners Divesh Makan, Chad Boeding, Michael Anders and Will Griffith want to turn the six-year-old firm into a tech-focused investor across a gamut of asset classes, a person familiar with the firm said.
Its founders have discussed with Iconiq’s advisory board wanting the firm to be as well-known in technology investing in a decade’s time as Blackstone Group LP, KKR & Co. and TPG are in private equity, the person said.