What You Need to Know
- Terms of the acquisition were not disclosed, and it is expected to close in the fourth quarter.
- Just Invest uses sophisticated portfolio management tools to personalize investment portfolios.
- Its acquisition by Vanguard will help the fund giant better serve the clients of financial advisors.
Vanguard has entered into a definitive agreement to acquire Just Invest, a provider of tax-managed, tailored wealth management technology, including Kaleidoscope, which is a highly customizable, direct indexing offer.
The purchase, whose terms were not disclosed, is expected to be completed in the fourth quarter of 2021.
“Technology-driven solutions such as direct indexing continue to reshape our industry, driving better investment outcomes and lowering costs for clients,” said Tim Buckley, Vanguard chairman and CEO, in a statement. “We are excited to welcome the Just Invest team and direct indexing capabilities to Vanguard to better serve our clients.”
Vanguard had been engaged in a pilot program powered by Just Invest that was offered to RIA clients over the past year and a half, offering tax optimization benefits and serving as a values-based investing tool.