In a deal that was apparently partly inspired by the growing “robo-advisor” trend, electronic broker Interactive Brokers Group has agreed to acquire Covestor, an online separately managed account marketplace.
Covestor, launched in 2007, is part of an emerging industry that provides automated investment services to both investors and product providers.
Covestor fills the SMA niche in this area, providing an online platform that can automatically match SMA advisors with investors based on risk profile and other factors, according to company officials.
The deal has been approved by the boards of both companies, and it is expected to close during the second quarter, both companies announced Thursday.
Terms of the deal were not disclosed.
Interactive Brokers Chairman and CEO Thomas Peterffy said the deal will allow his company to better serve so-called “robo-advisors.”