Schwab loses adviser fintech leader Jon Patullo to Apex

Jon Patullo in white shirt and black jacket

Apex Fintech Solutions chief product officer Jon Patullo

At TD Ameritrade, Patullo oversaw the strategic direction of adviser-facing technology and spearheaded the open-architecture approach to third-party integrations.

As Charles Schwab continues to work through its integration of TD Ameritrade, one of the leaders behind TD’s celebrated technology strategy is leaving for Apex Fintech Solutions.

Jon Patullo, a 26-year veteran in adviser fintech, will join Apex as chief product officer in the fourth quarter of 2022. He will lead product strategy for Apex Advisor Solutions, Apex’s business focused on financial advisers.

Since joining TD Waterhouse in 1996, Patullo has worked in electronic trading, customer service, technical support and software development. As managing director of technology platform management at TD Ameritrade, Patullo oversaw the strategic direction of adviser-facing technology and spearheaded the open-architecture approach to third-party integrations that made TD a favorite among fintech startups and tech-savvy advisers. Patullo helped launch the Veo, Veo Open Access and Veo One custodial technology platforms.

Patullo joined Schwab following the acquisition of TD in 2020, and most recently served as managing director of digital trading and wealth management.

At Apex, Patullo will collaborate with Olivia Eisinger, the general manager of advisory solutions.

“Apex is on a mission to help growth oriented advisory firms modernize their businesses and the experience they offer their clients,” Eisinger said in a statement. “Jon has made incredible contributions to the RIA industry, and we are excited about his passion to continue raising the advisory technology bar.”

Many popular fintech startups — including Wealthfront, Robinhood and Stash — were built on top of Apex’s digital native custody and clearing platform. Betterment and SoFi’s robo-adviser still use it.

However, the company is looking to grow among traditional registered investment advisers. The company has made partnerships with several adviser-facing fintech providers, most recently working with Orion Advisor Solutions to power new digital account opening.

“I deeply admire Apex’s thoughtful approach to harnessing the power of modern technology solutions to help RIA firms and leading fintech businesses that aim to provide an advised offering to their customer base while enhancing the solutions they provide their clients,” Patullo said in a statement.

In the wake of the TD-Schwab deal, many smaller custodians see an opportunity to attract RIAs who may be looking to move elsewhere. Apex has promoted its digital prowess as an advantage over other custodians and bringing Patullo’s experience in adviser technology could be a huge asset for the company, said Tim Welsh, president of Nexus Strategy.

“Huge win for Apex to bring in the experience and knowledge from the former TD Ameritrade Veo platform leader that had such a dramatic impact on RIA efficiency and led to market share gains,” said Tim Welsh, president of Nexus Strategy. “Particularly at this extremely vulnerable period of time for Schwab, we could see hundreds of billions of dollars leave Schwab for Apex as they enhance their custodial front end.”

A spokesperson for Schwab confirmed Patullo’s departure and wish him well but declined to comment further as a matter of policy.

[More: Schwab exec updates progress on integrating TD Ameritrade technology]