RIAs Drive Addepar Past the $5 Trillion Mark

The company invests more than $100 million annually in research and development.


Illustration by RIA Intel

Addepar, a data reporting software for wealth managers, announced Wednesday that it had surpassed $5 trillion in assets on its platform.

According to the company, RIAs represent more than $2 trillion of its assets. The rest comes from banks, institutions, and family offices. The company attributes much of its growth to its heavy investment in research and development.

“We started the business in 2009 and it took five years to get to the first trillion,” Addepar CEO Eric Poirier said. However, over the past two years, Addepar has managed to double its assets and the number of clients on the platform. This past year alone, Addepar brought in $1 trillion in assets.

The company now serves more than 1,000 client firms, nearly half of which are RIAs or multi-family offices ranging in size from less than $100 million in AUM to more than $100 billion.

At its core, Addepar is a data aggregation platform.

Its open architecture allows the company to integrate with more than 100 software, data, and service partners. It can bring in portfolio, market, and client data from millions of accounts, across hundreds of custody banks and institutions. It says it can aggregate almost every client asset in one place. It also allows reporting, billing, and mobile access all of which can be white-labeled by clients.

The company has spent the past decade building out its operating platform, with a concerted effort over the past three years, and invests more than $100 million annually in research and development.

“It’s really hard to build an underlying platform that can ingest data from many hundreds of custody banks every day, process that at scale across many millions of accounts, and run billions of calculations,” said Poirier. “Once you have that foundation, building new applications on top of it for analyzing, reporting, billing, portals, mobile, etcetera, becomes a lot easier, and then wrapping all that in this partner ecosystem also becomes easier. And I think we’ve done that better than anybody.”

In recent years, Addepar has added other features like Navigator, a portfolio projection tool that allows advisors to simulate scenarios and forecast cash flows for clients’ complex private market investments.

Poirier said moving forward it will continue to prioritize building out additional client-centric capabilities.

“We’re actively building a whole bunch of stuff behind the scenes right now, some of which is going into closed beta. Some of that will launch more publicly next year,” said Poirier. “We see the RIA community as still a very attractive and appealing community for us to keep compounding growth in a big way.”

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