Fidelity and Sungard Create Wealth Management Platform

Stephen Harris

2 August 2006

Fidelity Investments and SunGard Data Systems have agreed to integrate Fidelity's registered investment advisor group brokerage services with SunGard's transaction-processing network to create a platform for wealth management. Fidelity will provide brokerage, custody and clearing services for around 600 financial intermediary customers of the SunGard Transaction Network, who currently manage about $100 billion of client assets, under the terms of the deal. Fidelity's 170 bank-trust and third-party administrator customers and financial intermediaries such as bank-trust departments, will have access to SunGard’s trade automation and record-keeping systems. Under the terms of the agreement, Fidelity and SunGard will jointly market and distribute the service to other financial intermediaries. Fidelity and SunGard have collaborated previously on asset-management systems for Fidelity's business clients. The Fidelity Investments registered investment advisor unit has about $210 billion in assets in custody for 3,100 registered investment advisors, and 170 bank-trust and third-party administrative firms.