Addepar, a data reporting software for wealth managers, announced it had partnered with Corient, a Miami-based RIA with more than $160 billion in assets under management.
Partnership is another step for the data giant’s growth, as wealth management firms pivot toward greater adoption of technology to serve clients.
Corient said it underwent a significant request for proposal process to look for a company that could provide data aggregation, quality reporting, and continuous product innovation.
“I think technology is increasingly important in every area of business today,” said Corient chief operating officer Lennie Gullan. According to Gullan, Corient’s clients fall mostly within the ultra-high-net-worth and high-net-worth segments.
“That level of client just requires a very tailored set of solutions and a tailored approach in terms of how you build and manage their wealth and the broader relationship you have with them,” said Gullan. “Technology is central to us being successful.”
A recent report by Fidelity Investments found that RIA firms that had embraced technology had higher client and assets under management growth rates compared with their counterparts. A survey by Advisor360 found that 92 percent of the advisors surveyed would switch firms because of a poor technology setup and nearly half of them already had.
Since its founding in 2009, Addepar has grown to serve thousands of RIAs. CEO Eric Poirier told RIA Intel that it took the company nearly five years to reach $1 trillion in client assets on the platform. Just recently, the platform surpassed more than $6 trillion in assets, $1 trillion of which was added in the past six months.
Addepar integrates with more than 100 software, data, and service partners and can bring in portfolio, market, and client data from millions of accounts, across hundreds of custody banks and institutions. It also allows reporting, billing, and mobile access, all of which can be white-labeled by clients, including Corient.
Central to Corient’s choice, Addepar spends more than $100 million annually on R&D.
“That’s a huge differentiator for Addepar, just like the emphasis we put on constantly rolling out new features, improvements, scaling, and that much more,” said Poirier. “We’re broadening the capabilities we provide to our client community.”
Poirier said Addepar is bringing on more and more clients each quarter and expanding the capabilities and services provided to existing clients.
