AssetMark Buys Morningstar Wealth’s $12B TAMP Business

AssetMark, Inc., the wealth management platform of AssetMark Financial Holdings, will acquire assets valued at about $12 billion from Morningstar Wealth’s Turnkey Asset Management Platform (TAMP).

Financial advisors and clients on Morningstar’s TAMP will gain access to AssetMark’s platform, which includes technology, business consulting, and a select group of investment strategists.

The account migration is expected to be “seamless”, according to the firms, as there will be no additional documentation required and clients’ performance histories will be kept.

Furthermore, advisors who are presently working with AssetMark will receive access to model portfolios and separately managed accounts managed by the Morningstar Investment Management team, which manages and advises on over $290 billion in assets. Morningstar Wealth will join AssetMark as a third-party strategist.

“AssetMark has a long track record of providing financial advisors with the service, tools, and investments they need to build a thriving practice, and we look forward to making our models accessible to more advisors,” said Daniel Needham, president of Morningstar Wealth.

This transaction was approved by the Boards of Directors of both AssetMark and Morningstar, Inc. and is expected to close in the second half of 2024.

In April, Concord, CA-based AssetMark Financial Holdings itself became the object of an acquisition when it was acquired by private equity firm GTCR for $2.7 billion, which is expected to close in the fourth quarter of 2024.

Founded in 1996, AssetMark has over 1,000 employees and the AssetMark platform serves over 9,200 financial advisors and more than 257,000 investor households. As of March 31, 2024, the company had $116.9 billion in platform assets.