BNY Mellon’s Pershing to Acquire Optimal Asset Management

BNY Mellon’s Pershing has entered into a definitive agreement to acquire direct indexing solutions provider Optimal Asset Management. Closing of the acquisition is subject to customary conditions and is expected to occur before the end of 2021.  Optimal Asset Management’s patented software offers customizable direct indexing solutions to investors looking for personalized portfolios which match with their values. In addition, the firm addresses increasing client demand for improved investment customization by choosing individual equities in an index solution, which includes options to tailor their portfolios for sustainable investments. The acquisition will form part of Pershing’s recently launched business unit Pershing X that is said to design and build innovative solutions for the advisory industry. According to Pershing, clients are expected to gain benefits following the acquisition, including personalized investor portfolios aligned to values and tax optimization benefits for investors, as well as improved acquisition and retention efforts for advisors through deeper, more personalized investment planning.