Envestnet and YieldX Announce Strategic Partnership, Expanding Access to Solutions for Simplifying Investment in Income and Protection Products

Rhea-AI Summary

On October 25, 2021, Envestnet announced a strategic partnership with YieldX, aiming to enhance financial advisory services through improved fixed-income investment solutions. Envestnet will distribute YieldX's technology, which simplifies fixed-income investing for over 108,000 advisors and their clients. Additionally, Envestnet led a Series A funding round for YieldX to scale its analytics and engineering teams. This partnership is expected to broaden the access to income-related solutions, empowering advisors to meet critical client needs.

Positive

• Envestnet's partnership with YieldX enhances fixed-income investment offerings.
• YieldX closed Series A funding led by Envestnet, strengthening its growth.
• The partnership will simplify fixed-income investing for over 108,000 advisors.

Negative

• None.

CHICAGO and MIAMI, Oct. 25, 2021 /PRNewswire/ -- Envestnet, one of the largest ecosystems transforming the way financial advice and wellness are delivered, and YieldX, a FinTech company reimagining fixed income, today announced they are entering into a strategic relationship. Envestnet will distribute YieldX technology and products through its platform, empowering advisors to help clients achieve better fixed-income investment outcomes. Completing a year of significant growth and opportunity, YieldX also closed its round of Series A funding led by Envestnet. 

"We are fully vested in enhancing our ecosystem to intelligently connect financial lives, and we believe income and protection solutions are critical to helping make financial wellness a reality," said Rich Aneser, Chief Strategy Officer of Envestnet. "Through our strategic partnership with YieldX, and investing to expand its capabilities, we are able to bring more income related solutions to market for helping advisors meet a critical client need."

The investment made by Envestnet will be used to further scale YieldX's quant, engineering, and analytics teams in order to support the company's vision of bringing sophisticated fixed income investment capabilities to a much larger universe of investors. Additionally, YieldX plans to expand its API suite to facilitate personalization at scale on a modern technology stack, add new data and integrations, expand existing ESG (environmental, social, and governance) and impact customization capabilities, and further execute on the go-to-market strategy across various use cases.

Envestnet and YieldX are acting on the opportunity to simplify fixed income investing for the nearly 108,000 advisors and more than 6,000 companies currently harnessing Envestnet's technology and services. The partnership with YieldX complements the suite of income and protection tools available through the Envestnet ecosystem—such as access to variable annuities from insurance carriers, and FIDx's Protection Intelligence solution for actively managing annuities, offered through the Envestnet Insurance Exchange.

"Upon recognizing the alignment in our visions for the future of wealth and financial technology, we saw an exciting opportunity to work with Envestnet," said Adam Green, Co-Founder and CEO of YieldX. "The depth of the Envestnet ecosystem and the breadth of its share across several key markets is impressive. We view this strategic partnership as a powerful way to level the fixed income playing field for Envestnet's broad network of advisors and end investors with solutions that simplify the traditional complexities of sourcing and trading fixed income assets. We believe the power of our solutions can make a meaningful impact upon the financial futures of investors." 

YieldX was founded in April 2019 to eliminate historically complex barriers to sophisticated fixed income investing. The YieldX solutions enable:

• FinTechs to create investment and savings products around targeted yield and risk parameters, and do so on-demand.  
• Wealth Managers to improve client outcomes by utilizing YieldX's "no quant" workflows to build and optimize yield portfolios. 
• Broker Dealers to deliver intelligent insights, trade ideas, and portfolio optimizations at scale.  
• Asset Managers to offer white-label "direct indexing" fixed income technology that provides investors with customized, values-based investment solutions.

About Envestnet

Envestnet refers to the family of operating subsidiaries of the public holding company, Envestnet, Inc. (NYSE: ENV). Envestnet is transforming the way financial advice and wellness are delivered. Our mission is to empower advisors and financial service providers with innovative technology, solutions, and intelligence to make financial wellness a reality for everyone. Nearly 108,000 advisors and more than 6,000 companies—including 17 of the 20 largest U.S. banks, 46 of the 50 largest wealth management and brokerage firms, over 500 of the largest RIAs, and hundreds of FinTech companies—leverage Envestnet technology and services that help drive better outcomes for enterprises, advisors, and their clients.

For more information, please visit www.envestnet.com, subscribe to our blog, and follow us on Twitter (@ENVintel) and LinkedIn.

About YieldX

YieldX is reimagining fixed income. YieldX offers a digital-native API-first analytics and modeling platform. Our 'no quant' apps are transforming the way everyone from wealth managers to broker-dealers and fintech apps design and deliver optimized, personalized income investing solutions at scale. YieldX offers complete flexibility, with a choice of end-to-end technology and asset management solutions, custom investment universes, and white-labeled offerings, so clients can select the capabilities that best meet their needs. 

For more information, visit YieldX.app.

Media Contact for Envestnet: 
Laura Marvin
JConnelly
973.349.2959
envestnetpr@jconnelly.com

Media Contact for YieldX:
Heather Valle
Caliber Corporate Advisers
heather@calibercorporateadvisers.com

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SOURCE Envestnet, Inc.; YieldX

FAQ

What is the significance of the Envestnet and YieldX partnership?

The partnership aims to enhance financial advisory services by providing better fixed-income investment solutions.

When was the Envestnet and YieldX partnership announced?

The partnership was announced on October 25, 2021.

How will the Envestnet partnership impact YieldX's operations?

The partnership will enable YieldX to scale its analytics and engineering teams, improving its investment capabilities.

What company led the Series A funding for YieldX?

Envestnet led the Series A funding round for YieldX.

How many advisors will benefit from the YieldX technology through Envestnet?

Over 108,000 advisors will benefit from YieldX's technology distributed through Envestnet.