Online investment advice firm NestEgg Wealth was acquired for an undisclosed sum by a new technology firm, Vanare, which sells an integrated wealth management platform for financial advisers, the firms announced today.
New York-based Vanare's technology platform will combine the NestEgg digital advice tool that advisers can white-label for clients along with a customer relationship management system and a portfolio management system.
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“We are integrating all the disconnected wealth management processes into a scalable platform that focuses on both the adviser and client experience,” said Rich Cancro, founder and chief executive of Vanare, which was founded about six months ago.
Following the acquisition of NestEgg, Vanare has $1.5 billion in client assets and more than 20,000 consumer accounts, Mr. Cancro said.
Alexey Sokolin, NestEgg's founder and chief executive, will become chief operating officer and a partner at Vanare, according to the firms.
“The Vanare proposition is that advisers can use one common set of tools to address all the needs that their business will have, both the digital advice and their traditional clients,” Mr. Sokolin said.
The executives declined to provide an estimate of the cost for advisers to use the integrated platform, saying it depends on which services advisers choose to use. Using just the NestEgg piece will cost 5 to 15 basis points, they said.
Vanare will be disclosing which CRM and portfolio management systems it integrates with in the future, Mr. Cancro said.