Tech-advisor hybrid Facet Wealth, which pays advisors to turn over small, unprofitable clients, has partnered with portfolio management and trading solutions provider Vestmark, according to a company announcement.
Facet Wealth expects the partnership to create better investment options for its clients, said Anders Jones, co-founder and CEO of the firm, as well as enabling the firm’s advisors to be more efficient in its financial planning. “We have less of a focus on asset management. We don’t really see that at as our real value-add,” he said. “We just found that the Vestmark platform is very compelling. It allows us to put in customized investment plans for each client.”
Scale is critical to serving mass affluent clients and Facet’s strategy has captured the attention of PE firms like Warburg Pincus. Facet focuses on acquiring clients with assets of $100,000 to $1 million, serving them with a combination of human-provided CFP expertise, mixed with technology powered by machine learning. Vestmark shares Facet Wealth’s focus on the mass affluent, said Jones.
Vestmark recently closed on its acquisition of UMA platform Adhesion, after the two companies worked together for the past decade.