SANTA MONICA, CALIF. / AGILITYPR.NEWS / January 24, 2023 / Magazine study shows big and small packaged platform providers like Envestnet, AssetMark, Orion, GeoWealth and others captured new assets over market meltdown, showing that outsourcing wealth creation continues to thrive
After a year when U.S. investors lost about $6 trillion, the top turnkey asset management program (TAMP) providers profiled in The Wealth Advisor’s twelfth annual America's Best TAMPs™ 2023 Guide and Digital Dashboard are growing their assets at a healthy rate as the wealth managers that work with them expand organically, despite the biggest market downturn in over a decade and the worst pandemic in a century.
Scott Martin, editor-in-chief of The Wealth Advisor, said: “It has been a chaotic year for many in the industry, but once again, TAMPs and their advisory affiliates were relatively cushioned from the shocks. The TAMPs we track are still growing their platform assets while the advisors that adopted 13 of the fastest-growing platforms on our list since 2020 have expanded to a net $300 billion in advisory assets. Just imagine what they will be able to accomplish when the market winds swing in their favor.”
The rationale is clear, Martin says: “Wealth managers once treated automated wealth management as fringe technology that offered more sizzle than substance, and opted to stick with managing portfolios manually. After years of disruption, outsourcing the portfolio isn’t just a niche decision for technophiles anymore. Home-office work and online client calls have shown every advisor that it’s the key to continued relevance, prosperity – and even survival.”
Advisors are responding with fierce loyalty to their favorite platforms. The Wealth Advisor invited its audience of 330,000 financial professionals to vote on which TAMPs they prefer. While opinions were split, Orion and AssetMark swept this year’s rankings.
Natalie Wolfsen, CEO of AssetMark, said: “We thrive in empowering advisors to navigate the most challenging of market environments, have meaningful conversations with clients, and efficiently scale their businesses. Our success is attributed to our ability to deliver a purposeful and complete technology and service platform supported by our strong belief in the power of due diligence and curated investment solutions, or the open architecture approach and service of Adhesion – all of which make a real difference in the lives of advisors and their clients.”
Ryan Beach, President of Orion Wealth Management, said: “Our open architecture, turnkey asset management platform is built on technology that’s powerful enough to support advisory firms’ growth, while offering a remarkable user experience. To be recognized as one of America's Best TAMPs for eight years running is truly a testament to our team’s culture of collaboration and relentless pursuit of transformative outcomes. Today, we offer a vast array of capabilities but remain committed to integrating our innovative and robust wealthtech suite – all in service of helping advisors manage their investments, clients and business with confidence.”
SMArtX Advisory Solutions took the top spot for AUM growth, boosting its presence by 833% since 2020, while several other platforms have been expanding at an annualized rate of 25% or above throughout the dislocations of recent years.
SMArtX Advisory Solutions’ Founder & CEO, Evan Rapoport, said: “SMArtX is honored to be recognized as the fastest-growing TAMP by The Wealth Advisor. The need for a more modern, robust, API-driven unified managed accounts technology was clear, as evidenced by our significant increase in assets and adoption by some of the world's largest and most prestigious financial institutions like Morningstar and Goldman Sachs. SMArtX’s ability to bring enterprises in line with the advances of the modern-day markets, providing UMA solutions that work as you would expect, is what got us where we are today and will enable continued exponential growth going forward.”
About The Wealth Advisor
Since 2009, The Wealth Advisor has provided news, opinion, and education for wealth managers and advisors alike. The outlet brings its readers the latest insights vital to their business, reducing the need to pour through dozens of news and industry publications. Over the last 10 years, the publication has distinguished itself as the preeminent leader in providing trusted news and information on the turnkey asset management platform (TAMP) marketplace. Headquartered in Los Angeles, California with correspondents in LA, New York and beyond, The Wealth Advisor is part of Marina Media, LLC. Visit www.TheWealthAdvisor.com.