Orion Advisor Services has delivered a suite of integrated portfolio accounting solutions to Gradient Investments, an independent SEC registered investment adviser serving independent RIAs throughout the US.
The partnership has helped position the firm for accelerated growth in 2013 and into 2014, with assets under management (AUM) that are on pace to grow by more than 50 per cent from 2012.
Gradient provides fee-only professional money management services, serving individuals, employer-sponsored pension plans, foundations, endowments and corporations through exchange traded funds (ETF), options, equities and separately managed accounts.
The firm had USD50m AUM in 2010, when it brought on Orion's portfolio accounting and rebalancing solutions for performance reporting, trading, fee billing and coding. With support from Orion's account integration capabilities, Gradient experienced growth from USD282m at the end of Q4 2012 to USD430m AUM year to date.
"Orion's suite of scalable back-office solutions has been instrumental to our growth, helping us to move from 50 client accounts funded or opened on average per month in 2010 to 430 accounts opened or funded per month in 2013," says Nathan Lucius, managing director, Gradient Investments. "Orion's technology liberates our investment professionals to focus on portfolio construction and on supporting our network of independent advisors with active portfolio solutions."
Gradient initially turned to Orion to provide a customised portal with performance reporting capabilities that could be branded to the firm's affiliated advisors. Trading, fee billing and coding functions were added, allowing Gradient to centralise its rebalancing strategies across multiple custodians. Once the data is in the system, it can be used to output risk scores, which can then be linked to a model portfolio, custodial paperwork, investment advisor agreements, investment policy statements, and more.
"Gradient's rapid growth reflects the company's holistic commitment to understanding its clients and offering highly personalised investment solutions," says Eric Clarke, president and CEO of Orion. "The back-office support we provide ensures that Gradient's advisors have access to the resources and services they need to provide the best possible financial solutions."