Morningstar acquires bond analytics firm InvestSoft Technology

Asset managers and advisers will crunch data to gain insights on fixed-income products.
MAY 26, 2016
Morningstar has acquired InvestSoft Technology, a fixed-income analytics software provider, it announced in a press release. The purchase was made in response to clients' requests for more fixed-income capabilities, said Frannie Besztery, head of data for Morningstar. Using InvestSoft, which has BondPro Fixed-Income Calculation Engine, asset managers, advisers and their clients will experience greater transparency and have better insights into bond funds, she said. Terms of the deal were not disclosed. InvestSoft's services fit well with current regulation movements, specifically the Department of Labor's fiduciary rule, which requires all advisers act in their clients' best interest on retirement accounts. "This actually helps with that, so that they are providing more transparency into what they're actually holding," Ms. Besztery said. "It is tying in with the overall mission of helping investors." The software provides more than 130 different calculations and models on bonds, depending on the complexity of the fund. Morningstar will integrate the technology onto its systems and rebrand InvestSoft under its own name. This is the latest acquisition in a spate of technology acquisitions the firm has made in the past two years. In March, Morningstar acquired RightPond, a data analytics provider on defined contribution and defined benefit plans. Previously, the firm had acquired portfolio rebalancer Total Rebalance Expert, financial wellness services provider HelloWallet, and data aggregator ByAllAccounts. Todd Roitfarb, chief executive of InvestSoft and formerly of Fidelity Investments, Merrill Lynch and Ernst and Young, will become head of fixed-income products for Morningstar. Al Roitfarb, his father and president of InvestSoft, will become head of architecture, fixed income for the firm.

Latest News

Stocks rebound as Fed provides more certainty of uncertainty
Stocks rebound as Fed provides more certainty of uncertainty

Jerome Powell's tone calmed investor nerves short term, but left ambiguity.

Osaic network expands with $170M AUM trio of advisors in Indiana
Osaic network expands with $170M AUM trio of advisors in Indiana

Industry veterans make the switch having been part of an association of firms.

Nvidia could be about to spend big on US tech drive
Nvidia could be about to spend big on US tech drive

Latest chips can be made in America, CEO tells FT.

Copper breaks $10K threshold amid tariff threats
Copper breaks $10K threshold amid tariff threats

Traders are anticipating new levies from next month.

'Beautiful, clean coal' could get a major boost from Trump team
'Beautiful, clean coal' could get a major boost from Trump team

Emergency powers could bring back shuttered plants.

SPONSORED Beyond the all-in-one: Why specialization is key in wealth tech

In an industry of broad solutions, firms like intelliflo prove 'you just need tools that play well together'

SPONSORED Record growth: Interval funds emerge as key players in alternative investments

Blue Vault Alts Summit highlights the role of liquidity-focused funds in reshaping advisor strategies