The Bank of New York Mellon Corporation has agreed to acquire Archer, a provider of managed account solutions to the asset and wealth management industry.
The transaction is expected to close in the fourth quarter of 2024, subject to regulatory approvals and other customary closing conditions.
US retail managed accounts to be worth $8 trillion in assets
Through its fully integrated, cloud-based platform, Archer helps asset and wealth managers expand distribution, streamline operations, launch new investment products, and deliver personalized outcomes to a broader market.
By acquiring Archer and integrating its middle- and back-office solutions, BNY will enhance its enterprise platform to support retail-managed accounts.
Retail managed accounts is a market that is projected to grow at a double-digit compound annual growth rate to over $8 trillion in assets over the next three years in the United States, according to a recent report by Cerulli.
Archer will provide BNY Investments and BNY Pershing’s Wove wealth platform for advisors with expanded distribution of model portfolios and access to Archer’s multi-custodial network.
“Asset and wealth managers have a strong desire to create multi-asset solutions”
Emily Portney, Global Head of Asset Servicing at BNY, said: “Managed accounts are one of the fastest-growing investment vehicles in the asset management industry, enabling investment advisors and asset managers to offer customized portfolios to retail investors at scale. By combining Archer’s market-leading capabilities with BNY’s broader footprint and expertise, BNY will offer fully integrated, end-to-end retail managed account solutions across our entire platform.”
Bryan Dori, President and CEO of Archer, commented: “Today’s asset and wealth managers have a strong desire to create multi-asset solutions across a variety of products, along with direct indexing and tax optimized portfolios, to meet the needs of their distribution partners and investors. As a new addition to the BNY platform, Archer’s expertise, capabilities and scale will be leveraged across all of BNY to help even more clients drive long-term growth for their businesses.”
BNY Mellon rebranded to BNY in June
It was in June that BNY Mellon announced that after 240 years in operation and being America’s oldest bank, the financial institution decided to rebrand to BNY, with changes to the logo including a modern font, a refined arrow, and a distinctive teal color.
