JPMorgan has announced its acquisition of OpenInvest, a provider of environmental, social, and governance (ESG) tools tailored for the wealth management sector.
Founded in 2015 with backing from prominent investors such as Andreessen Horowitz, Y Combinator, and QED, OpenInvest focuses on empowering advisors to enhance the social and environmental impact of their clients’ investments.
Joshua Levin, co-founder and Chief Strategy Officer of OpenInvest, commented on the partnership, stating, “Our collaboration with JPMorgan merges groundbreaking ESG technologies with the reach of America’s largest bank, enabling us to connect with nearly half of all American households.”
Post-acquisition, OpenInvest will continue to operate under its existing brand while being integrated into JPMorgan’s Private Bank and Wealth Management services.
This acquisition follows JPMorgan Asset Management’s earlier purchase of 55ip, a fintech company that specializes in providing tax-efficient investment strategies through model portfolios. The bank plans to combine 55ip’s tax-smart models with OpenInvest’s ESG offerings to create customized, value-driven investment solutions for its clients.
Details of the financial agreement have not been disclosed.