LPL Financial says that its parent company, LPL Financial Holdings, has acquired Chicago-based fintech firm Blaze Portfolio in a bid to expand LPL’s wealth management capabilities.
Founded in 2010, Blaze Portfolio offers an advisor trading platform and portfolio rebalancing software and currently serves 135 investment firms, according to LPL.
LPL will integrate Blaze Portfolio’s platform into its own, offering it to practices of all sizes and affiliations, Burt White, LPL Financial managing director and chief investment officer, says in the announcement. LPL will also continue offering Blaze Portfolio’s platforms as a standalone service to other wealth management companies, LPL says.
The firm closed the deal on October 26 for an initial purchase price of around $12 million, with an additional payment of up to $5 million contingent on certain milestones and purchase price adjustments, according to LPL.
LPL says it intends to retain Blaze Portfolio’s team.
“For many advisors, our trading platform is their lifeblood, and the way they express and execute their investment strategies for their clients in a sophisticated way,” White says in a statement. "It’s important, therefore, that we continue to invest in our offering to help them differentiate, grow and win in the marketplace.”
Advisors joining LPL Financial often cite the company’s technology offerings as one of the primary reasons they chose the company.
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