Massachusetts Mutual Life Insurance Company (MassMutual) has agreed with Stone Ridge Asset Management, which has over $10 billion in assets under management (AUM), for MassMutual to acquire FinTech registered investment advisor (RIA) platform Flourish, according to a press release.
Flourish helps provide digitally enabled products and services for RIAs, including numerous models, such as an established cash management offering called Flourish Cash, the release stated. That service is offered through Stone Ridge Securities, Stone Ridge’s registered broker dealer. MassMutual will also acquire that service as part of the deal.
As of late 2020, Flourish works with over 350 RIAs and represents more than $600 billion in AUM. After the transaction is completed, Flourish will continue to serve RIAs and operate as an independent entity from MassMutual’s existing insurance and wealth management business, according to the release.
“MassMutual is focused on providing a simplified, digital, customer-centric user experience, and Flourish will help accelerate that strategy, ultimately supporting our vision of providing financial well-being for all Americans,” said Gareth Ross, MassMutual head of Enterprise Technology and Experience, according to the release.
The deal is expected to close during the first quarter of 2021, the release stated.
The U.S. isn’t known for its massive amounts of financial experts, according to stats compiled by PYMNTS. PYMNTS reported that GoBankingRates offered a six-question quiz to test the basic knowledge of financial literacy and found that just 49 out of 2,001 respondents answered at least five out of six questions correctly. Most, the survey found, would barely even get a passing grade in the American school system, having answered four or less questions correctly.
While tests might not always indicate anything in real life, six out of 10 customers surveyed by PYMNTS were living paycheck to paycheck.