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With Fi360 deal, Broadridge expands wealth management reach

In an aggressive move to build out its presence in wealth management, Broadridge Financial will buy Fi360, a provider of fiduciary services and training to advisors.

Last year, the communications and financial technology firm inked a deal to help UBS revamp its advisor platform, parts of which are decades-old.

With the Fi360 deal, Broadridge is moving into new territory.

Fi360 offers accreditation and continuing education for the accredited investment fiduciary designation. More than 11,000 advisors have earned the right to use AIF credentials, according to the firm, which hosts an annual conference for fiduciary advisors.

Founded in 1999, Fi360 also offers software, data and analytics, according to the firm.

Those resources may prove particularly useful as the wealth management industry becomes increasingly fiduciary-oriented. Several states, such as Massachusetts and New Jersey, are promulgating fiduciary regulations.

Michael Liberatore, head of Broadridge’s mutual fund and retirement solutions business, nodded to these industry changes as reasons for the acquisition.

Since becoming CEO of Broadridge Financial Solutions in January, Tim Gokey has overseen the firm's expansion in wealth management services.
Since becoming CEO of Broadridge Financial Solutions in January, Tim Gokey has overseen the firm's expansion in wealth management services.

“The shift to fee-based advice and imminent regulatory changes, including the SEC’s Regulation Best Interest, are increasing the scrutiny on firms to ensure that they are demonstrating prudent advisory practices,” Liberatore said in a statement. “Our goal is to help firms stay ahead of this evolving regulatory landscape. Integrating Fi360’s solutions set with Broadridge’s leading wealth and retirement solutions will enable better support for clients as they build and maintain responsible fiduciary practices.”

Bill Mueller, CEO of Fi360, said Broadridge’s scalable technology will allow his firm to offer advisors better solutions.

Terms of the deal, which is expected to close in November, were not disclosed.

In addition to wealth managers, Broadridge also provides services to asset managers from data analytics to communications. The New York-based firm says its technology underpins proxy voting services for more than 50% of public companies and mutual funds globally.

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