JPMorgan buys fintech start-up 55ip to assist monetary advisors provide tax environment friendly portfolios
Pedestrians walk in front of the main JPMorgan Chase building in New York.
Scott Mlyn | CNBC
JPMorgan Chase said its wealth management department has agreed to buy a fintech start-up that will help financial advisors automate building tax-efficient portfolios.
The move to acquire Boston-based 55ip, announced in a press release Wednesday, marks the first acquisition since CEO Jamie Dimon said earlier this year the company was looking for acquisitions.
“Consultants are increasingly looking for intelligent, automated tools to ensure simplicity, scalability and efficiency. With the acquisition of 55ip, we are accelerating our significant investments in advanced advisory technology,” said George Gatch, CEO of JP Morgan Asset Management, in the statement.
JPMorgan didn’t reveal how much it plans to pay for the start-up. The two companies announced a partnership in October that will allow advisors to move holdings in portfolios while minimizing the amount of taxes due.