Franklin Templeton acquired digital wealth platform AdvisorEngine, the investment management firm announced in a news release Wednesday.
The acquisition is part of Franklin Templeton's "global initiative to enhance support for financial advisers via digital servicing capabilities," said Harshendu Bindal, managing director and head of digital strategy and wealth management, in a news release.
Terms of the deal were not disclosed.
As part of the deal, AdvisorEngine's leadership team will remain in place and continue to operate the business as an independent subsidiary of Franklin Templeton.
The digital wealth platform provides technology and consulting services to more than 1,200 U.S. financial advisory firms managing more than $600 billion in assets, Franklin Templeton said in the news release.
AdvisorEngine will work closely with Franklin Templeton to create new proprietary services, such as goals-based financial-planning tools, digital portfolio construction analytics and research-enabled resources to help financial advisers enhance their wealth management offerings, Franklin Templeton said.
"We're in the midst of the fourth industrial revolution, and technology advances are reshaping how financial solutions are delivered," said Jenny Johnson, president and CEO of Franklin Templeton, in the release. "As a result, we continue to invest in technology and team to enhance our offerings."
With access to Franklin Templeton's investment capabilities, AdvisorEngine will continue to build out its financial services platform, which features client relationship management, portfolio management, reporting, marketing and digital wealth services for financial advisory firms. It will also be able to establish new relationships with custodians, financial technology providers and asset managers.
"We're now better positioned than ever to help advisers transform how they do business, connect more deeply with clients, grow assets and scale their operations," said Rich Cancro, AdvisorEngine founder and CEO, in the same release.
Willkie Farr & Gallagher represented Franklin Templeton in the transaction, while the asset and wealth management investment group at Raymond James & Associates advised AdvisorEngine.