.jpg){kind=avatar}
.jpg){kind=avatar}
Vestwell gets profiled this week in the FT as one to watch!. Founded in 2015, the company aims to take the friction and cost out of setting up, administering and monitoring 401k’s — aiming primarily for retirement plans at smaller businesses, which might be uneconomical for big retirement platforms such as Vanguard to handle.
Aaron Schumm, chief executive, citing the Department of Labor, has pointed out that almost 90 per cent of 401k plans have fewer than 100 participants, and that these represent $600bn in assets. He says the company has signed up thousands of plans, and it has a collaboration deal with Bank of New York Mellon to administer state- and municipality-backed plans. The Vestwell approach — a white-labelable, customisable architecture, offered independent of particular wealth management products — draws validation from its blue-chip investor roster. Last month the company raised $30m from a consortium including Goldman Sachs and BONY, which join a list of owners that also includes Allianz and Franklin Templeton.
https://www.ft.com/content/a553ad10-6aad-11e9-80c7-60ee53e6681d?shareType=nongift
unknownx500
