CONCORD, Calif. - AssetMark, Inc., a wealth management platform and a subsidiary of AssetMark Financial Holdings (NYSE:AMK), Inc., has announced a strategic partnership with Morningstar Wealth, a division of Morningstar, Inc. (NASDAQ:MORN), an independent investment research firm. This alliance includes AssetMark's acquisition of approximately $12 billion in assets from Morningstar Wealth's Turnkey Asset Management Platform (TAMP).
The collaboration aims to provide financial advisors and clients with enhanced services, including access to AssetMark's platform, known for its service, technology, and investment strategist offerings. The transition of accounts is planned to be smooth, not requiring new client paperwork and preserving clients' performance histories.
Additionally, AssetMark advisors will gain access to Morningstar Investment Management's model portfolios and separately managed accounts, which oversee more than $290 billion in assets globally. Morningstar Wealth will also become a third-party strategist on the AssetMark platform, expanding its investment services.
Michael Kim, CEO of AssetMark, expressed that the partnership aligns two leading firms to deliver innovative solutions and high-quality service to advisors and their clients. Daniel Needham, President of Morningstar Wealth, highlighted the milestone, anticipating the broader reach of their models to more advisors.
AssetMark has a history of strategic acquisitions aimed at enhancing advisor resources, including a global SaaS-based financial planning solutions provider in 2021 and a wealth management technology solutions provider in 2022. The transaction, which is subject to regulatory approvals and customary closing conditions, is anticipated to finalize in the second half of 2024.
AssetMark Financial Holdings, Inc., with a pending acquisition by private equity firm GTCR expected to close in the fourth quarter of 2024, operates a platform serving over 9,200 financial advisors and 257,000 investor households, with $116.9 billion in platform assets as of March 31, 2024.
Morningstar Wealth, part of Morningstar, Inc., offers a wide range of services aimed at both advisors and investors, including portfolio management software and data aggregation.
Morningstar, Inc., with subsidiaries in 32 countries, provides comprehensive data and research across various investment offerings and manages approximately $294 billion in AUMA.
This strategic partnership is based on a press release statement and is expected to enhance the services provided to financial advisors and clients by leveraging the strengths of both AssetMark and Morningstar Wealth.
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