Fintech, short for financial technology, has pervaded every aspect of our lives. This union between finance and technology has heavily altered the way banking and finance are being done, revolutionising the way we manage our transactions and assets. What is impressive is that this revolution has become woven so seamlessly into our lives that it feels like just another part of our everyday happenings. However, when we think about it, these daily happenings are greatly influenced by Fintech. Whether it be online banking, sending money digitally to a friend, or even paying for products using our smartphones, Fintech has been steadily making these transactions more convenient. How exactly did Fintech manage to infiltrate so deeply into our lives, and why will it continue to do so? Let us dive in.
A big reason why Fintech has managed to permeate so widely is due to the rapid growth of the industry. All over the world, innovators are working round the clock to remodel our financial services. With his 20 years of experience in Fintech innovation, Rich Turin shares with us on our podcast Wealthtech Unwrapped about the growth of Fintech. He notes that Fintech is a hugely competitive industry in China, similar to how investment banking was like in the West. The lucrative nature of Fintech attracts many young people who are willing to sacrifice to earn more, fueling rapid innovation within the industry. With innovation comes new services and products that continue to simplify our lives. This leads us to our next point, which is that Fintech is global in its reach.
In a world without borders, the rapid growth of Fintech in any part of the world will have global ramifications. Rather than influencing their local geographies, Fintech advancements will impact the entire ecosystem surrounding banking and finance. Looking at the new asset class of cryptocurrency, we can exchange our local currency for a more stable digital coin that will generate yield over time. Because cryptocurrency exists in a decentralised space, anyone from anywhere in the world can invest in it. In an interview with Edmund Lowell, founder and CEO of KYC-Chain, he shared that this was especially useful for residents of countries with a collapsing local currency as they will take refuge and protect their savings using cryptocurrency. Since anyone can participate, Fintech as an industry is without borders and can influence almost every corner of the globe.
Finally, Fintech has only been able to become so ubiquitous due to the advances in technology. Historically, the reality has been that financial planning is for those who can afford it. However, advancements in technology have helped lower the cost of financial planning, allowing many more to access this service. One way has been through Robo-advisors. These Robo-advisors are a marriage between human advice and technology, using algorithms to provide automated investment guidance to anyone who uses it. They not only make financial advice accessible but straightforward as well. According to Statista, in 2020, the US had almost $1.05 Billion worth of assets under management in the Robo-advisor segment. Once the deployment of Robo-advisors has become widespread, financial planning will no longer be the prerogative of the affluent.
According to Bambu’s Consumer Sentiment Analysis, tech-savvy investors are seeking information and investment options to provide more context. Robo-advisors, because they lower the barrier to entry for financial advice, are well-positioned to meet the needs and demands of these end consumers. Furthermore, decreasing advisor fees using technology is especially crucial during economic downturns. As people’s finances become tighter, they will be less willing to pay a high premium for financial advice. With these benefits above implementing Robo-advisors, many large financial institutions and firms are quick on the uptake. For instance, Deloitte forecasts that by 2025, over $16 Trillion worth of assets will be managed by Robo-advisors. As members of the Fintech community, Bambu aims further to advance the deployment of Robo-advisors among various financial institutions. We help our clients navigate their key considerations to implement digital solutions that value-add to their business, helping them create the best digital wealth experience for their customers.
There is no foreseeable ceiling to the heights that Fintech can reach. As the industry grows and technology progresses, the union between finance and technology will continue to be strengthened. Aki Ranin, the Co-founder of Bambu, shares that Fintech will become so integrated into our lives that managing our finances will become increasingly unconscious for users. He believes that technology will take care of our bills one day, optimise our spending, and help us invest for retirement, all behind the curtains. All in all, Fintech will become increasingly intertwined with our everyday lives.
The acquisition of Tradesocio will extend Bambu’s digital wealth capabilities, doubling the number of employees to 130 and further accelerating global expansion.
Singapore, July 13 2021 – Bambu is pleased to announce the acquisition of Tradesocio, a WealthTech company with 65 employees, specialising in investment management and trading technologies with offices in Singapore, India, and Dubai. This acquisition significantly strengthens the combined business’ competitiveness globally. Bambu will have a presence in all major financial hubs and expanded digital wealth capabilities covering stock trading and cryptocurrencies.
Through the acquisition, Tradesocio brings years of experience delivering and operating high-volume trading platforms across various asset classes. The acquisition puts Bambu in a unique position that will provide customers greater agency through broader system capabilities that go beyond the offerings of existing robo advisor platforms. In addition, Tradesocio’s presence across EMEA and India, along with an existing portfolio of clients, is set to further Bambu’s reach in a rapidly expanding and evolving global digital wealth market.
Ned Phillips, CEO of Bambu, said, “After five years of building solid foundations, Bambu is now entering a phase of rapid growth. This deal helps us in three key areas: it expands our product offering into stocks and crypto, it gives us a wider global footprint and enables us to scale our team effectively to match exponential demand. We believe this positions us well for our Series C and ambitions of becoming the global leader in WealthTech.”
This is unlikely to be Bambu’s last acquisition as they foresee acquiring more companies that strengthen their product mix and global reach to impact the digital wealth industry.
Bambu is a leading global digital wealth technology provider for financial institutions. We enable companies to make saving and investing simple and intelligent for their clients. The cloud-based platform is powered by our proprietary algorithms and machine learning tools. The company serves over 20 financial institutions globally. Founded in 2016, Bambu is headquartered in Singapore with a subsidiary in the United Kingdom and the United States and EMEA representatives. For more information, visit https://bambu.co/ and follow us on LinkedIn and Twitter.
Tradesocio provides Digital Technology that helps Financial Investment institutions manage, offer and access secure and profitable financial services. We allow financial institutions to attract a wider clientele, ranging from the retail to the high-net-worth institutional investor, and offer them access to a variety of financial services, bringing equal opportunities to the world. We offer tailored digital investment management solutions to the wider investment management community that are reducing costs and increasing revenue potential.
We provide the complete end-to-end financial management solution, from development, hosting and maintenance, to security and post-sales technical support.
Senior Marketing Manager, Bambu
Who doesn’t want financial stability? A financial cushion that can serve them and be their back during rainy days? A retirement plan that can offer them the satisfaction of having a filled bank account when they are out of work? A surety that they will be able to pay the hospital bills in case of emergency? A guarantee that they will have enough to request a mortgage for their new house? All this requires some financial knowledge.
Financial knowledge comes when people have access to good financial advisors. Sadly, getting honest financial advisors that offer helpful suggestions is like finding a needle in a haystack. That’s why wealth management is so complex.
In fact, you would be surprised to know that even in the US, less than 25% of people have ever used a financial manager for advice. According to a survey, only 18% of Americans actively seek financial advice, and the biggest reason is that they consider it an extra expense.
Fortunately, digital wealth management platforms are changing that. And powering them is a wealth management API that is trying to improve how wealth management platforms are made today. One of the providers of wealth management API is Bambu. It is redefining how wealth management works by building better and faster wealth management applications. In addition, this wealth management API contains data that can help wealth management platforms’ clients to invest in their goals.
What is a wealth management API? How Does it Work?
Wealth management has always been a hot topic. But it has become even hotter recently after the global pandemic and market crash in 2020. All this has created more demand for financial advice, and people are now opting for digital investment options. As a bank, an insurance company, an investment service, or a brokerage, this is the best time to create a wealth management robo advisor that can help your clients and a wealth management API can help you build it faster and better.
Consider wealth management API as a solution to your robo advisory platform. For example, suppose you are creating a robo advisory platform that can help your clients manage their portfolios, take care of their retirement plans, and reach their house purchasing goals. In that case, a wealth management API will provide the foundations for that.
With a wealth management API, you won’t have to start from scratch. That means not creating the whole algorithm to calculate investment goals and provide portfolio projections to the clients. Of course, all this takes many people from multiple disciplines (finance, engineering) and time to build. With the API, you will create the basic infrastructure and the wealth management API will take care of all the processing that goes in the backend for crafting financial plans for your clients.
Who Should Use a Wealth Management API?
Anyone who is offering financial management services to their clients or willing to offer them in the future should connect to a wealth management API.
This could be:
Banks looking to offer financial planning and wealth management services
Financial advisors looking to offload their work to automated robo advisors
Startups in the financial space looking to launch their product faster
Fintech companies looking to add a new module with their current offering
Brokerage firms trying to create their wealth management platforms
All these are the ideal users of a wealth management API as it will allow them to create/launch their robo advisory platforms with minimal efforts.
Bambu Wealth Management API: How Can It Help?
Bambu is one of the leading online wealth management platform providers. It offers wealth management solutions such as
robo advisory, API so that its clients (financial services) can create wealth management and financial planning solutions for their customers.
How Does Bambu Provide Financial Projections?
Creating a robo advisory platform using the Bambu wealth management API is simple. The API is powered by financial data in multiple countries to enable wealth management providers and an easy way to build goal helpers for their clients.
For example, let’s say you are creating a robo advisory platform for your financial firm. The robo advisory platform can guide clients on a day-to-day basis in planning for:
Let’s go through an example of how Bambu wealth management API works in real scenarios. We will use a child’s education goal as an example. Then, we will show some screenshots from a real wealth management platform that uses Bambu API to build a child’s education goal helper.
To analyze and provide an accurate estimate of how much the client should save for their client’s education, the wealth management API will interact with Bambu’s financial data mentioned above. The data will then be combined with an algorithm to project the future amount of the goal.
In the child’s education goal helper platform below, the client will be asked for the child’s age of education, the university’s location, whether or not the university is public, and whether or not the major is medical.
After the client fills in all the required info, the platform will send a request to Bambu API and the API will then send a response containing the estimation of the child’s education amount, which is $129, 874.
How Can You Start Using Bambu Wealth Management API?
Go to developer.bambu.co to get started. You can create a free account and try the API from there. The website contains tutorials to get started using the API to build multiple-goal helpers such as a child’s education, retirement, and house. The free tier gives you a 5000 API calls quota per month.
If you are looking to accelerate creating your wealth management platform that can guide your clients in planning their investment goals, then Bambu wealth management API offers all the help you would need. Try the API today and see how it can help you create your wealth management platform faster and better.
Our engineering team is a group of passionate and talented individuals who work hard and play hard.
What technologies do they use?
The application is entirely containerized through docker use, allowing the team to deploy quickly in different systems or provide a local testing/development environment that any developer/tester/product manager can quickly bring up. This helps speed up the software development life cycle, which enables them to create working prototypes much faster.
The team has decided on AWS as the infrastructure of choice due to its broad global market penetration for availability and in-house expertise. Being on a matured and established cloud platform allows them to focus more on the product rather than spending time optimizing the infrastructure. Due to the containerized nature of our application, ECS (Elastic Container Service) and EKS (Elastic Kubernetes Service) are primarily used and managed because they allow for easy scalability, high availability, and disaster recovery. The infrastructure deployment also follows the principle of infrastructure as code by using AWS Cloud Development Kit (AWS CDK). This allows the team to migrate and create new environments easily in a different region whenever needed.
How do they accomplish their daily activities?
As a part of a cross-functional development team, the engineers will participate in a sprint. A sprint is a time-boxed period during which the team needs to complete a set amount of objectives.
In every sprint, a lead engineer will understand the big picture and break down stories into tasks that other engineers can pick up. A task will have a story point, usually representing the number of days an engineer may require to complete the task. Once an engineer is done with their task, they will be required to make a pull request (code review request) to their fellow engineers. Pull requests will serve as a feature for engineers to discuss and provide feedback on the implemented task. It can also be leveraged to modify the task if necessary. Once a pull request is approved, the task will be marked as ready to be shipped for quality assurance testing.
The sprint will end with a review, serving as an opportunity for engineers to showcase their completed tasks to the entire team.
What’s our software development process?
The methodology followed within Bambu is the Hybrid Agile model, which combines Agile methods and other non-Agile techniques, such as the Waterfall model. It is often considered an intelligent approach adopting Agile-Waterfall methodologies as this method is able to retain the clarity and maintainability of the Waterfall method while embracing the adaptability and flexibility of Agile.
The first step: Requirements Analysis Phase.
User expectations for a new/ modified product are determined. This involves recording the needs of the clients and conducting analysis to ensure clarity and completeness of the discussed requirements.
The second step: Design Phase.
A high-level design schematic is crafted and signed off by the client’s business stakeholders to ensure the designs are aligned with the given requirements.
The third step: Implementation Phase (coding).
Developers are provided with the approved design schematics. The software design is translated into efficient source code.
The fourth step: Testing and Documentation Phase.
The test plan execution is done in each sprint to minimize the risk of failures. Performance of tests will ensure that the product performs as expected.
The fifth step: Maintained Separation Phase
Separate logical environments for system development, testing, and production are maintained so that no single individual can move object codes.
The sixth step: Deployment Phase
After the project team completes product testing, the product is ready to go live. Change management and incident response plans are crafted.
The seventh step: Maintenance and Support Phase
The application system is monitored to ensure data integrity and efficient performance, faults are identified and rectified.
The eighth step: Maintenance Phase
This stage consists of completing change requests, technical support and resolution, and tracking open issues on the systems deployed to production.
Being able to achieve success of such high caliber requires skills, patience, and resilience. We applaud our software engineering team for their triumphs! For more insights into Bambu, you can also read “Uncovered Success – The Story of Bambu”, where we interview our CEO, Ned Philips.
This post is part of an ongoing series of research updates by Bambu, a financial technology company I started in 2016. The theme of these posts is predicting the future. You can find part one here, sharing the results of a survey we ran about people’s attitude towards their future.
So, you think I’m kidding about predicting the future? Just hear me out. Predicting the future is not only possible but even simple if you stack the probabilities on your side by making precise statements about the object and time of the prediction.
Example 1: I predict everyone alive today will die. Certainly, there’s a non-zero chance I’m wrong, but historically that seems a pretty safe bet.
Example 2: Similarly, I can predict that for the next two seconds, you will continue to read this article, or at least finish this sentence. Got you!
So clearly you can predict many things as a party trick, by picking the right granularity of events and time horizon for the prediction.
The question is, where is the line between what’s defensible mathematically, and what’s actually new information that’s useful? If you’re too conservative, you end up with tautologies, i.e. statements that are obviously true but add no value or information besides a tired chuckle from the audience. If you’re too aggressive, then you’ll end up with highly interesting information that simply has no connection to reality, or at best is just a coin toss, and get dismissed as a charlatan.
Is there a sweet spot in between? Well, that’s what we’re going to find out! To help us digest and compare various approaches, I’m introducing a simple chart, that splits into four quadrants on the basis of the aforementioned concepts of utility and relevance.
Historical approaches to predicting the future
It should come as no surprise to you that we’ve been doing this as far as history can shine a light. Whether reading weather, entrails, stars, or palms, man has always sought to interpret what nature has in store for us. Why? Well, nature has always been a cruel master, and perhaps hope placed in omens is better than no hope at all. On the other hand, the randomness of events around us has always been tough to accept, and we chose to believe in divine intervention or deterministic fate to fill gaping holes in our understanding of natural phenomena. Either way, when we didn’t yet have things down to a science, we simply made up weird and random ways to predict until new science came along to show us the way forward.
Basis: wisdom, intuition, subconscious Content: high utility, low relevance
Possibly the oldest form of predicting the future is the tribal shaman. There are historical sources from archaeology to show that this was a common practice amongst many ancient cultures, from the Native American “Medicine Man” to the Rishis of prehistoric India. These cultures relied heavily on the priest class, or even individual members of the tribe, that often had secretive rituals to access the wisdom of the ancestors.
We recently ran a question poll at Bambu to understand how people think about the future. We all have our personal intuitions about the future, of course, but does everyone feel the same?
Well, we asked 138 mostly random people from around the world and found out many fascinating things that largely went against known stereotypes and our intuitions.
NOTE: This wasn’t intended as an academic study to be published, so forgive any statistical or methodological oversight on my part. This was for user research, and helpful as such. Oh, and why is Bambu interested in the future, to begin with? Well, we’re trying to predict it. No, I’m not joking. But more on that some other time…
We think of the future as the next few years
Without getting too pedantic, I think it makes sense to first establish if we’re talking about the same thing. After all, the future is constantly happening to us at different timescales. It also depends on which future you think about, such as the future of the world or the human race. But here, we’re asking about your future. For the sake of the questionnaire, it’s helpful to see most people agree on a timescale of several years.
People think about the future more than you’d think
Well, since it seems we all think about the future a lot, I suppose it’s natural to assume other people do too. But people are weird like that, we all think we’re special little flowers that have interesting ideas and thoughts.
Interestingly, here we see some clear differences between the genders. Only one in four men think about the future every single day, but 37% of females do exactly that.
I got money on my mind
I suppose it’s the reality of western capitalism that we all worry about money. The questionnaire did allow respondents to enter their own answers. Nobody added happiness, which is a little sad, but equally telling that regular people are grounded in regular realities of a living wage, however big or small that wage.
“You and I got to do for you and I.” — Outkast (Git Up, Git Out)
In some sense, it’s nice to run little experiments like this, that are anonymous, because you see the pretences drop immediately. Ain’t nobody out here healing the world, it turns out.
Singapore, June 1, 2021 – Vestwell, a digital recordkeeping platform, and Bambu, a global robo-advisory technology provider, are teaming up to provide customers with an even more robust retirement plan experience. By leveraging Bambu’s wealth management API, Vestwell and its partners will be able to offer personalized investment strategies to help their clients better prepare for retirement based on actionable retirement goals.
The new relationship played a role in Vestwell’s recently released advisor managed account offering with Franklin Templeton. Together, they are rolling out an innovative, goals-based offering using Franklin Templeton’s Goals Optimization Engine.
“As workplace investor expectations evolve, it’s vital to deliver participants the types of personalized solutions they’ve become accustomed to in all other aspects of their lives,” said Ben Thomason, EVP of Revenue at Vestwell. “Working with Bambu and Franklin Templeton has made it possible to create a seamlessly data-integrated, low-friction, bespoke managed account experience at a reasonable price.”
Bambu has developed a Wealthtech API proven to provide the information investors need to maximize success for achieving their retirement savings goals. The retirement API has features to cater to US retirees’ needs, which considers Social Security Benefits (SSB), tax, and retirement goals. The investing platform starts with the user’s current status in terms of savings amount and lifestyle needs. Then, the proprietary engine presents investors with an overview of various options, including investment strategies that may be appropriate based on their answers to a targeted risk tolerance questionnaire.
“With the rapidly changing landscape of retirement planning in America, it is important for financial institutions to provide a seamless experience that helps individuals save and plan their future,” said Ned Phillips, Bambu Founder & CEO. “Being able to offer API as an option along with the enterprise and white label solutions has been beneficial. It allows clients, who already have technical resources at their disposal, to build a wealth management platform more quickly by using our APIs for endpoints like retirement goal calculators and portfolio projections.”
Bambu has a library of over 70 Wealthtech APIs designed to make wealth management easy for companies looking to create their robo-advisory platform. These can be categorized by financial planning, country and fund data, machine learning, transactions allocations, and performance monitoring. Bambu provides readily available goal-based wealth management API; no set-up required.
We had the pleasure of sitting down with Varun Sridhar, CEO of Paytm Money, India’s largest online investment and wealth management platform. Varun is an expert in leading financial institutions to digital transformation through intrapreneurship. Prior to Paytm Money, he served as CEO of FinShell India, where he helped launch PaySa, a mobile fintech platform. He was also with BNP Paribas and Deutsche Bank prior to that.
The interview below has been summarized from an interview we had with Varun in our podcast, WealthTech Unwrapped.
Ned (N): How are you doing, Varun? Thank you for joining us.
Varun (V): Very good, thank you. Super excited to be here. And, you know, I’ve heard of you guys before so I’m very excited that I can add something. It’s a good day today, however, we’re going through some tough times in India. It’s been a challenging few weeks for everyone. But yeah, but I’m happy and safe personally.
N: Happy to hear you’re doing well. There’s a lot we want to cover, so let’s get started. I wonder, how does a corporate guy end up in one of the coolest jobs in FinTech? You’ve been at Deutsche Bank, BNP Paribas, big corporates. Was fintech something you always wanted to do or was it more happenstance that you ended up at Paytm Money?
V: So I think I’ll take a step back and maybe wind my life. I never imagined that I would be in a FinTech. If I go all the way back, I just wanted to be in a bank. I actually bought my first stock at 16.
You know the reason I wanted to be a banker because my uncle invited me to a five-star hotel in Delhi, and said, “spend as much as you want today, and I’ll take care of the bill.” When a 16-year-old gets an opportunity like that, you think “hey, I want to make a lot of money too”. After graduating in commerce, I was chartered in accountancy and then somehow went into politics.
As the world has evolved, so has our understanding of how financial strategies can help people achieve their goals. Budgeting, investment and responsible borrowing are just some of the strategies we use to grow wealth, and it seems more accessible than ever as digital innovation surges.
Financial advice is any kind of help with the planning of individual life circumstances; preparing for retirement, saving for a rainy day, tax planning, and perhaps the most important of all – how to invest in order to grow wealth.
The ‘advice gap’ then refers to the disparity between people who have access to this financial aid and to those who either can’t afford or access financial advice.
A survey by OpenMoney UK shows a sharp increase in this gap every year. More people are finding financial advice unaffordable and even more are unaware of available financial advice:
The “free advice” gap refers to those who could benefit from advice but are unaware it exists – is estimated to have risen to 20.8 million.
The “affordable advice” gap which refers to those who could benefit from advice but can’t afford it – is estimated at 5.3 million.
OpenMoney (2020) reveals that about 44% of adults had run out of money before their next pay at least once in the past year and only 24% of adults save every time they get paid. Whether exacerbated by the COVID-19 disaster or not, it’s abundantly clear that many lack the financial knowledge and capacity to weather another economic crisis.
And it’s not as if financial services are unavailable to the public – numerous financial advisors exist, which can generally be categorised into the following:
Fee-based and commercial-based advisors: individuals or groups typically referred to as “financial planners” who take a fee for financial guidance and management.
Robo Advisors: digital wealth management platforms that automate the process of investing and managing money on your behalf – powered by algorithms, with little to no human supervision.
So why does the financial gap still exist?
When asked about seeking financial advice, many adults revealed that they:
Were simply unaware
Many didn’t know of existing financial advisors or where to look.
Think it is unaffordable
A recurring consensus was that many financial services were exclusive to the wealthy or simply too expensive.
Believe it’s unnecessary
They trust their ability to manage their own money and believe they “shouldn’t have to pay for something they can google”.
Distrust conventional advisors
Possibly the biggest reason – many believe financial advisors are untrustworthy and only wish to “sell you something” out of self-interest.
Digital wealth managers may be the answer
Robo-advisors are digital, algorithm-driven financial advisors that can help provide adequate, affordable and unbiased financial planning to solve many of issues driving the advice gap:
The selling point of most robo-advisors is that they require low starting capital (some from as low as $100) and minimums which makes financial advice more accessible and affordable to the general public.
Advice is automated
Based on your risk-appetite, robo-advisors assess your information through a survey to offer advice and tailor a suitable portfolio which automatically invests your money digitally. This means little to no human intervention, removing the element of distrust people may have in conventional advisors.
Can be recommended by conventional financial advisors
By incorporating both a hands-on approach with robo advisory, financial advisors can offer an even more comprehensive, accessible and personalised financial plan for clients; this could help onboard clients who may previously not have the means for financial services.
The potential for Robo-advisors to start closing the financial advice gap isn’t just promising for budding investors. Financial advisors can use this strategy to bring affordable, diversified investing and essential financial advice to an untapped market, creating new opportunities that were previously too expensive and time-consuming to pursue. These opportunities aren’t necessarily short-term, either: financial advisors can reach first-time investors and potentially turn them into long-term clients, capitalising on the scalability of robo-advisors.
Franklin Templeton, Apex Clearing and Bambu Introduce Tango – A Scalable Goals-Based Wealth Management Tool for Advisors
New offering brings together three powerful technologies for a personalized, end-to-end solution
San Mateo, CA, December 10, 2020 – Franklin Templeton today announced the introduction of Tango, a turnkey robo-advisor designed to empower advisors to provide personalized, goals-based wealth management at scale. The all-in-one solution is a collaboration between three industry leaders—Franklin Templeton, Bambu, and Apex Clearing. Franklin Templeton provides the personalized, goals-based portfolio management advice to advisors through its proprietary Goals Optimization Engine (GOE™). Bambu’s white-label platform is the digital solution for clients and advisors, while Apex facilitates trading and custody through its modern back-end platform built for safety, scale and speed.
“Tango is a single solution built on the expertise of three partners, each providing a unique offering for advisors, and it is truly a case of the whole being greater than the sum of its parts,” said Harshendu Bindal, director of Digital Strategy and Wealth Management for Franklin Templeton. “As the industry continues to move towards digital platforms and technology-based services, investors increasingly expect a seamless digital experience. Tango will give advisors the ability to focus on growing their client relationships with professional management, personalized to their client’s specific goals, without the demands of increased back-office responsibilities or up front charges that are typical of many robo platforms.”
GOE, a key differentiator in the offering, is Franklin Templeton’s proprietary technology that enables advisors and financial services firms to deliver personalized, high-value services to end-investors at greater scale. Based on proprietary research that won the prestigious Harry Markowitz Award in 2018[i], GOE combines Franklin Templeton Investment Solutions’ portfolio construction expertise with dynamic programming to deliver individualized portfolio pathways based upon an individual’s unique goals. With the ability to handle multiple investor goals, GOE uses probability of success as the driver for the initial asset allocation and each reallocation in order to maximize likelihood of achieving the goal. Portfolio paths further adapt to client changes and market events.
Apex was one of the first companies to digitize the activities associated with securities clearing and custody to give financial services providers the speed, efficiency and flexibility they need to deliver a better investment experience. Bambu has integrated with Apex’s robust suite of application programming interfaces (APIs) that include new account opening, automated customer account transfer systems (ACAT), funding and trading.
“From our headquarters in Singapore, we have delivered digital wealth solutions for the most discerning global and US clients. With Tango, we saw an opportunity for a singular offering that makes it much simpler for anyone in wealth management to launch their own white-label robo-advisor. Through a single, bundled relationship, Franklin Templeton, Apex and Bambu have created a turnkey techstack combining proven technology, clearing services and professionally constructed portfolios,” said Ned Phillips, CEO and founder of Bambu.
“Apex is committed to simplifying investing by leveraging technology to bring relevant and cost-effective investment solutions to individuals and the advisors that serve them. Through this exciting new relationship with Franklin Templeton and Bambu, we’re able to do just that,” said Tricia Rothschild, president of Apex Clearing. “Tango is a powerful solution that brings together a frictionless digital experience with open-architecture technology designed to arm advisors and financial services firms with sophisticated goals-based decision-making capabilities that will improve investors’ relationships with money.”
Tango is designed for seamless implementation and cost efficiencies that can be deployed quickly and easily into an advisor’s practice. Firms can implement this solution without upfront technology costs in a matter of eight to ten weeks versus several months through competing solutions.
Franklin Templeton continues to expand its offerings beyond traditional investment products, which now include planning and advice, digital tools, and advisor and retirement platforms. Tango leverages these expanded offerings to weave active investing strategies and advice into a digital platform, enabling financial planners to efficiently run their businesses with custom, optimized portfolios in an open-architecture environment.
Bambu is a leading global digital wealth technology provider for financial institutions. We enable companies to make saving and investing simple and intelligent for their clients. The cloud-based platform is powered by our proprietary algorithms and machine learning tools. The company serves approximately 300,000 end users on the platform in 10 countries. Bambu is funded by PEAK6 Investments and Franklin Templeton. Founded in 2016, Bambu is headquartered in Singapore with a subsidiary in the United Kingdom, and United States and EMEA representatives. For more information, visit https://bambu.co/ and follow us on LinkedIn and Twitter.
Apex Clearing is a custody and clearing engine that’s powering the future of digital wealth management. Our proprietary enterprise-grade technology delivers speed, efficiency, and flexibility to firms ranging from innovative start-ups to blue-chip brands focused on transformation to capture a new generation of investors. We help our clients provide the seamless digital experiences today’s consumers expect with the throughput and scalability needed by fast-growing, high-volume financial services businesses. Founded in 2012, Apex Clearing, a PEAK6 company, is registered with the SEC, a member of FINRA and a participant in SIPC. For more information, visit the Apex Clearing website, and follow the company on Facebook, LinkedIn, and Twitter.
About Franklin Templeton
Franklin Resources, Inc. [NYSE:BEN], is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 165 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company brings extensive capabilities in equity, fixed income, multi-asset solutions and alternatives. With offices in more than 30 countries and approximately 1,300 investment professionals, the California-based company has over 70 years of investment experience and approximately $1.4 trillion in assets under management as of November 30, 2020. For more information, please visit franklintempleton.com and follow us on LinkedIn, Twitter and Facebook.
[i] The Harry M. Markowitz Award from the Journal of Investment Management and New Frontier Advisors, LLC is an annual award honoring Dr. Harry M. Markowitz, a Nobel laureate in economics, for his legacy and to support future research and innovation in practical asset management. Candidates are taken from among papers published in the Journal of Investment Management each year.
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