Boston, MA – Vestmark, the leading SaaS provider of comprehensive unified wealth management solutions for financial advisors and institutions, today announced that it closed a $30 million dollar investment from global growth equity investor Summit Partners. Vestmark will use the new funding to accelerate growth by increasing investment in sales, marketing, and software development. It will also provide the company with greater flexibility to explore strategic opportunities and international markets.
“Our goal is to enable top tier financial institutions to scale delivery of their advice across all channels and client relationships,” said John Lunny, CEO of Vestmark. “This funding not only allows Vestmark to continue our growth trajectory but also to explore additional avenues of growth. We will continue to set the standard for financial technology innovation as we advance our offering and address new markets.”
Founded in 2001, Vestmark provides an integrated cloud-based technology platform – including modules for advisor trading, proposal generation, and client reporting – that allows advisors, broker dealers and asset managers to more efficiently deliver advice to their clients. Vestmark‘s client base is comprised of top tier financial institutions, and the platform currently services 1.5 million accounts with an aggregate of $500 billion in assets. Vestmark has received numerous accolades and industry recognition from the Money Management Institute, the Bank Insurance and Securities Association (BISA), CEB TowerGroup and other reputable industry thought leaders.
Financial institutions are reevaluating their operating models as investors demand an improved user experience and industry regulations continue to evolve. Vestmark’s innovative wealth management technology automates critical operational processes and efficiently scales across large numbers of investor accounts, lowering the cost of service per account while driving an intuitive user experience.
“This is a critical milestone for Vestmark. Our subscription revenue model has enabled the company to achieve high renewal rates and a demonstrated record of profitability,” said Tiffany Freitas, CFO of Vestmark. “With Summit’s financial and strategic support, we are well-positioned to achieve the next phase of business growth and further penetrate our large addressable market.”
“The Vestmark team has done a remarkable job building the wealth management industry’s best-in-class solution,” said Christopher Dean, a Boston-based Managing Director at Summit Partners. “Summit has a history of backing market-leading innovators in many different industries. Our investment in Vestmark allows us to support an exceptionally innovative company, one that is truly helping to advance the delivery of critical financial advice.”
Vestmark is the premier SaaS technology provider for comprehensive unified wealth solutions utilized by financial advisors and institutions. Vestmark provides VestmarkONE, the award-winning technology platform, to help clients gather more assets, increase operating efficiency, and minimize risk. The integrated technology solution provides proposal generation, portfolio construction and management, trade and rebalancing, compliance, performance measurement, sleeve level accounting, reconciliation, and client reporting. Since 2001, the platform has grown to service over 1.5 million accounts, representing over $500 billion in assets.
About Summit Partners
Founded in 1984, Summit Partners is a global growth equity firm that is currently investing more than $6.5 billion into equity and fixed income opportunities. Summit has invested in more than 400 companies in technology, healthcare and other growth sectors. These companies have completed more than 135 public offerings, and more than 150 have been acquired through strategic mergers and sales. Notable technology companies financed by Summit Partners include Avast, Belkin, Clearwater Analytics, Flow Traders, Hyperion Solutions, Infor, McAfee, NetWitness, optionsXpress, SafeBoot, Uber and WebEx. Summit maintains offices in North America and Europe and invests in companies around the world. For more information, visit www.summitpartners.com or follow on Twitter at @SummitPartners.
In the United States of America, Summit Partners operates as an SEC-registered investment advisor. In the United Kingdom, this document is issued by Summit Partners LLP, a firm authorized and regulated by the Financial Conduct Authority. Summit Partners LLP is a limited liability partnership registered in England and Wales with registered number OC388179 and its registered office is at 20–22 Bedford Row, London, WC1R 4JS, UK. This document is intended solely to provide information regarding Summit Partners’ potential financing capabilities for prospective portfolio companies.