FolioDynamix, a New York-based provider of software for the wealth management market, has raised $7.5 million from Edison Venture Fund.
Edison Venture Fund announced a $7.5 million investment in FolioDynamix based in New York, NY. Edison was the lead investor in this first institutional round. Proceeds from the financing will be used to execute the company’s strategic plan by increasing market penetration with additional sales and marketing resources
and completing an acquisition.
FolioDynamix provides technology and services to a wide array of companies in the Wealth Management market including large brokerage firms, RIAs, asset managers and banks. The company’s highly differentiated software provides front, middle and back office integration as well the capability to manage Mutual Fund Wrap, Separately Managed Accounts and Unified
Managed Accounts in a single offering. In addition to their software platform FolioDynamix provides vetting, recommendation and selection of money managers and will begin offering overlay management and rebalancing services.
Chris Sugden, General Partner, Aron Miodownik and John Geraci, Edison Director Network members, joined the FolioDynamix Board of Directors. Miodownik was the former COO of Merrill Research and Geraci was the former SVP Sales for Advent Software. Ryan Ziegler, Investment Manager, and Michael Kopelman, Principal, assisted with the investment
process. Rob Finn, Analysis Associate conducted Edison’s due diligence.
“We are looking forward to Edison’s strategic counsel and value-added services,” stated Joe Mrak, CEO. “Edison’s extensive knowledge of financial technology companies and industry contacts within the wealth management sector make them the right strategic and financing partner.”
“While the financial services sector has struggled recently, the wealth management market has remained a strong growth segment,” stated Chris Sugden. “The management team consists of experienced business builders with deep domain expertise,” added Michael Kopelman. “Their unique combination of technology and services is attractive to mid-size and
enterprise level customers,” continued Ryan Ziegler.
Edison has invested in 31 financial technology and services companies. Successful exits include Best Software, DPM, Etransport, Longview Solutions and Princeton Financial Services. Active portfolio companies include BillTrust, Blue Cod, Business Financial Services, Gain Capital, IPP, Liberty Tax, Neat Receipts and Scivantage.
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FolioDynamix is an established leader in the fast growing managed account industry providing innovative and industry leading solutions to support Unified Managed Accounts (UMA), Unified Managed Households (UMH), Separately Managed Accounts (SMA), Mutual Fund Advisory (MFA), Rep-As-Manager, and Fee-based Rep-As-Advisor programs. Top wealth management firms including large brokerage firms, RIAs, asset management firms, and banks utilize FolioDynamix’ highly scalable, proprietary technology to manage and process over 3.5 million accounts daily. The FDx platform, a configurable thin client application, offers tools to manage a portfolio through the full lifecycle of an account, including a fully proprietary tax lot cost accounting engine, new account opening tools, model management, multi-account trading, rebalancing, fee billing, management reporting, and performance reporting. The multi-currency platform allows users to trade equities, fixed income, ETF’s, mutual funds, options, futures, and other alternative assets with long or short positions, in a discretionary or nondiscretionary manner. FolioDynamix also offers supplementary business services to complement the FDx technology platform including a comprehensive database of market-leading money managers, mutual funds, and ETF’s, to create an optimal asset allocation.
FolioDynamix is a privately held company that has been servicing the managed account marketplace since 1999 and is based in New York, NY. For more information about FolioDynamix, please visit www.foliodynamix.com.