Fintech bytes: Envestnet reaffirms $1B RIA commitment with Tamarac tech investment
Also, Orion has added BlackRock, Fidelity, and Vanguard to its custom portfolios suite, and RedBlack has set up a new headquarters after crossing a trillion-dollar milestone.
Envestnet is reaffirming its commitment to supporting RIAs by more than doubling its technology investment in Tamarac, the portfolio management and rebalancing platform used widely by registered investment advisers.
The firm unveiled a $35 million “surge” investment in what it calls “the next era of Tamarac” – 2.5 times its typical annual spend on the platform – as part of a broader $1 billion, five-year research and development roadmap the company outlined roughly a year ago.
Chief Executive Chris Todd framed the move as an attempt to reclaim advisor time lost to operational work rather than client-facing activity.
“AI only matters if it removes work an advisor is actually doing. That is the standard we are building to,” Todd said.
The centerpiece of the Tamarac investment is Report Studio, a rebuilt reporting tool that gives advisors drag-and-drop control over tables, charts and key-performance-indicator modules, replacing a system in which holdings and performance data often lived in separate reports. Report Studio is available now; an AI-enabled version is in preview and beta signup, with broader availability planned for later this fall.
Envestnet also said it has deepened its custom model solutions to include semi-liquid strategies, interval funds and alternative ETFs, and completed a full integration with financial-planning software MoneyGuide to incorporate client goals, risk profile, net worth, and held-away account information into proposal workflows, IPS documentation and client records.
Ryan Bamert, group director of RIA product management at Envestnet, said the reporting rebuild reflects both near-term and longer-term goals.
“Report Studio is an important step forward because it addresses both the practical needs advisors have today and the future-state experience we are building toward: more flexible reporting, more connected data, and more intelligent workflows that help advisors prepare for better client conversations,” he said.
Orion adds Vanguard, Fidelity, BlackRock to allocation portfolios shelf
Orion announced the addition of BlackRock, Fidelity Investments and Vanguard to the third-party providers on its tailored allocation portfolios offering, which pairs third-party ETF and mutual fund models with Orion’s own custom indexing technology for tax-aware transitions.
The addition of BlackRock, Fidelity Investments and Vanguard brings the roster of participating strategists to eight, joining Brinker-Main Management, First Trust Advisors, Frontier Asset Management, Janus Henderson and Russell Investments to the program Orion launched in October last year.
Ron Pruitt, president of Orion Wealth Management, said the structure is meant to resolve a long-standing tension for advisors. “Advisors want to build around the client in front of them without giving up the discipline of a professionally managed model,” he said. “With Tailored Allocation Portfolios, advisors can start from an investment philosophy they already trust while adapting portfolios to each client’s unique goals, preferences, and circumstances.”
Yi-Ching Wu, Orion’s executive vice president of wealth management product and platform, tied the expansion to a broader shift in how advisors think about model portfolios. “Advisors no longer want to choose between model portfolios and personalization,” Wu said.
Orion’s Custom Indexing business had surpassed $17.1 billion in assets under management as of July 31, according to the company
RedBlack bets on Atlanta following $1 trillion asset milestone
RedBlack has opened a new U.S. headquarters in Atlanta after surpassing $1 trillion in assets managed by client firms on its platform.
The rebalancing and trading technology provider said its new Atlanta headquarters will anchor its North American operations, complementing a technology development center in Kochi, India, and a New Jersey office for its affiliated RedBlack Advisers business.
The firm – which became a standalone business after its former parent intelliflo was acquired by Carlyle in a deal announced last year – said Atlanta’s position as a fast-growing technology hub will help bolster its abilty to “[attract] top talent [while] delivering enhanced service to its rapidly expanding community of RIAs, wealth managers, asset managers and family offices.
Read more: Intelliflo spins off Redblack, but does anybody still pay for standalone rebalancing software?
The new office is also expected to serve as an in-person collaborative hub for employees to share ideas, deepen cross-functional partnershps, and drive innovation.
Jennifer Valdez, RedBlack’s chief revenue officer, said the move reflects the company’s growth trajectory without changing its strategic direction.
“As we continue to grow, advance and expand our platform’s capabilities, and add to our customer base, we’ve remained directly focused on helping advisors navigate complex business challenges with efficiency and tremendous scale.”
