Apex Fintech acquires portfolio management company AdvisorArch

Dallas-based Apex Fintech Solutions, a provider of custody and clearing services, has confidentially filed for an initial public offering (IPO), has acquired AdvisorArch, a portfolio management and rebalancing software provider for financial advisors.

The acquisition is set to support Apex’s RIA Custody & Execution platform by integrating advanced digital advice tools designed to optimize client experiences and operational efficiency at scale.

AdvisorArch automates and streamlines complex and time-consuming investment management processes, such as model portfolio standardization and rebalancing. The platform supports a wide range of functionalities, including tax loss harvesting, direct indexing, fractional share trading, and concentrated position management, all connected to advisors’ existing portfolio management systems.

“Led by a founding team of former industry professionals, AdvisorArch solves for critical pain points that finally give midsize RIAs a meaningful edge. The platform allows us to rebalance all of our accounts across multiple models easily with only a few clicks. It saves us so much time,” said Priya Malani, Founder & CEO of StashWealth.

Bill Capuzzi, CEO of Apex, added: “This acquisition strategically fills a crucial gap in our platform, providing access to the most advanced, customizable, and scalable rebalancing and direct indexing solution on the market. This marks a significant milestone in our journey to empower advisors.”

The acquisition is also set to provide financial advisors with access to direct indexing solutions without the constraints of minimum account sizes or transaction amounts. It comes shortly after Apex Fintech confidentially filed for an initial public offering (IPO), giving it another shot after it cancelled its $4.7 billion SPAC deal in 2021.

Apex had previously planned a public debut in 2021 through a merger with Northern Star Investment Corp II, a special purpose acquisition company (SPAC), but the $4.7 billion deal was eventually called off. The company specializes in digital asset custody, clearing, trade execution, and other investor services. It boasts over $115 billion in assets under custody and roughly 220 clients, including prominent names like eToro, Betterment, SoFi, and Ally Financial.

Apex Fintech (formerly Apex Clearing) is a financial technology firm that offers clearing, digital custody services and fractional share trading, among others, to its clients. Their offering focuses on enhancing brokerage functions such as opening accounts and onboarding, moving money, deposits and withdrawals.

Apex was the clearing house for the no-commission stock app Robinhood until it launched its own clearing service. The company was also reportedly bidding to provide PayPal with technology infrastructure to launch its stock-trading platform.