Plaid Loops Developers Into Customer Investment Data

Plaid, a FinTech that enables third-party applications to integrate into users’ bank accounts, is rolling out a new solution for the wealth investment management market.

The company announced Thursday (June 20) that it is launching Investments, a solution for third-party FinTech apps, app developers and financial institutions to support an integrated and holistic view of joint customers’ wealth and investments. Plaid customers can combine financial data of joint clients, including information on account balances, holdings and transactions, Plaid announced on its company blog.

The solution is the result of its acquisition of Quovo, announced toward the beginning of the year. At the time, the companies noted that their tie-up would further Plaid’s efforts to help app developers strategically wield data for their solutions, with Quovo enabling those developers to integrate investment data into their tools.

“Our goal is to make money easier for everyone, and doing so requires that we consider consumers’ financial lives holistically. We’re excited to work with the Quovo team to enable this,” Plaid co-founders Zach Perret and William Hockey wrote in the blog post in January. “Together, we’ll build a single platform that developers and large companies alike can use to build any financial application — from payments to lending to wealth management.”

That single platform is now live, with Plaid emphasizing the importance of providing end users of apps with a well-rounded view of their finances.

“Investment accounts are a crucial component of a person’s financial identity,” the blog post, authored by Plaid Product Managers Jesse Dhillon and Derlen Chiu, explained. “From saving for a first home or a dream vacation, to preparing for retirement of a child’s college education, investment accounts such as individual brokerage accounts, 401(k)s, IRAs, or 529s are arguably the most important accounts for people to achieve their financial goals.”

Plaid added that by including users’ investment data into its offering, app developers that integrate with financial accounts can introduce new use cases for Plaid technology, and promote new product development among FinTechs and banks.

The company announced earlier this week that Co-Founder and President William Hockey will step down next week.



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