(Bloomberg) -- Vanguard Group will open an office in the Dallas-Fort Worth area early next year as Texas becomes a hotbed for firms that provide financial advice and investment management.
The outpost will accommodate financial advisers and tech-support staff, the Valley Forge, Pennsylvania-based company said Friday in an emailed statement. The move affects the Personal Advisor Services group, which doles out investment advice online and oversaw about $231 billion as of March 31.
Vanguard, with about $7.5 trillion under management, is just the latest financial firm to grab a toehold in the Dallas area. Charles Schwab Corp. moved its corporate headquarters to nearby Westlake from San Francisco after acquiring rival TD Ameritrade in October. Texas also attracted Los Angeles-based hedge fund Canyon Partners, which recently leased space in Dallas.
“Establishing a new office in Dallas reflects our continued commitment to hiring top adviser and technology talent,” Vanguard Chief Executive Officer Tim Buckley said in the statement.
Texas is one of nine states that don’t tax earned income -- one reason it has attracted affluent individuals and the financial firms that cater to them. The Dallas County town of Highland Park ranked seventh on Bloomberg’s 2020 Richest Places in America list, with the average household income topping $365,000.
Companies have been rethinking how to staff offices in the wake of the Covid-19 pandemic, with many giving employees more flexibility on when and where they work. Vanguard is adopting a hybrid model for most of its people, allowing them to work remotely on Mondays and Fridays.
--With assistance from Katherine Burton.