Envestnet
continues to expand the technology infrastructure it offers consulting firms and other financial players, revealing this week the acquisition of Redi2 Technologies, a fintech provider specializing in revenue and billing services.
“Redi2 is a pioneer and innovator in cloud-based asset and investment management billing software delivery,” said Tom Sipp, Executive Vice President of Business Lines at Envestnet, in a statement, calling the company “an ideal partner as we continue to strengthen our financial well-being ecosystem.”
Envestnet CEO Bill Crager
Photo illustration of the staff
It is the latest in a series of acquisitions for the technology platform, following the acquisitions of PIEtech, the parent company of the popular MoneyGuidePro financial planning software, and fintech vendors such as Yodlee and Harvest, among others.
Together, these agreements constitute a strategy for Envestnet to expand its technology table to offer a full-service platform to advisers, banks and other financial services.
With Redi2, Envestnet will acquire a technology portfolio that helps advisers calculate fees, create invoices and handle invoicing compliance, and manage payments and other accounting functions.
“This acquisition improves our strategic enabling of services and data, and will over the next two years create an operating effect by bringing Envestnet and Redi2’s administrative, revenue and invoicing services together,” said Sipp.
Redi2’s product line includes a tool for accounting and invoicing services for asset managers to help you navigate the complexities of fee structures and invoicing. The Wealth Manager offering is tailored to broker-dealers and turnkey asset management programs to handle billing and payments, and BillFin offers billing and billing support, including tax sharing, for investment advisors and financial planners.
“The last two years have accelerated a growing demand for digitization,” said Envestnet’s Chief Strategy Officer Rich Aneser in a statement. “This latest acquisition reinforces our strategy to expand our ecosystem with technology, solutions and data that fosters our industry leadership, creating scale and operational impact for our business.”
The agreement comes on the heels of a major upheaval within Envestnet, when the company last month announced plans to reorganize itself into three divisions with a focus on asset management, back office fintech applications and consumer and advisor-oriented offers such as MoneyGuide.
At the time, the company also announced that Stuart DePina would resign as president, appointing Sipp as executive vice president responsible for coordinating the operation of the three business lines.
