Vanguard strikes deal for fintech platform Altruist

Aug 26 (Reuters) - Vanguard ‌Group said ​on ​Wednesday it would acquire fintech platform Altruist, giving the asset manager greater access ‌to independent financial advisers and expanding its ⁠wealth-management capabilities.

Here are some more details:

• While the terms ‌of the deal were ‌not disclosed, the Wall Street Journal said the transaction was worth roughly $4 billion, citing people ​familiar with the matter.

• Founded in 2018, Altruist is a wealth-management technology platform used ⁠by independent financial advisers. It is a competitor to Charles Schwab ​and Fidelity's custody businesses.

• "As more investors in Vanguard funds choose to work with ​financial advisors, we see a ‌significant opportunity to build on the strengths of two highly complementary organizations ⁠to help advisors serve clients more effectively," said Salim Ramji, CEO of Vanguard.

• The deal aligns with ⁠Ramji's strategy of expanding Vanguard's advice and wealth-management business ​as asset managers push further into serving affluent clients.

• Vanguard, which managed about $12 trillion in assets as of ‌March 31, also acquired wealth-management technology provider Just Invest in 2021.

• Following the ‌deal's close, Altruist will continue to run ⁠as a separate business ‌under Vanguard's ownership.

• ​The transaction is expected to close later this year.

(Reporting by Pragyan Kalita in ‌Bengaluru)

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