FolioDynamix from Actua Corp (NASDAQ:ACTA) is getting down to business with advisor firm Bolton Global Capital. The two are looking to seize the opportunity created by the growing number of advisors leaving the traditional wirehouse environment.
As Bolton continues to be the preferred platform of many advisors leaving the wirehouse model, its need for more technology support has increased. With that, the company has shopped around and determined that the technology held by Actua Corp’s FolioDynamix is the kind of solution it needs.
Supporting the interface
Bolton has tapped FolioDynamix to support the trading interface for its rapidly expanding roll of advisors. The press release announcement of the deal between Bolton and FolioDynamix, however, reveals that this is not limited to just simple interface support.
FolioDynamix will offer Bolton advisors an array of technology solutions that streamline their operating environment. For instance, those solutions will include support for trading, advisory and portfolio management.
Bolton and FolioDynamix are driving toward a technology solution that renders a dashboard for multiple advisory functions in the entire client lifecycle. Think about helping clients through account opening to rebalancing from the same dashboard.
According to Steve Preskenis, president of Bolton, their advisors who have tasted FolioDynamix’s technology have discovered that it is the tool they have been looking for.
Bolton said that it will widely roll out FolioDynamix’s platform in the coming months. But there was no mention about the financial terms of the deal. Nevertheless, it seems like it could pave the way for FolioDynamix to win more business contracts as more wealth managers defect from the legacy wirehouse model.
Actua Corp, the parent of FolioDynamix, generated revenue of $34.61 million in 1Q2016, indicating an increase of more than 13% over the same quarter last year. The revenue figure also exceeded the consensus estimate by $0.16 million.
Coming to the bottom-line, Actua Corp posted an EPS loss of $0.11, fractionally better than the EPS loss of $0.14 guided by analysts.