Jemstep

About Jemstep

Jemstep, now operating as Jemstep by Invesco, functions as a dedicated business-to-business-to-consumer (B2B2C) service provider, delivering digital advice solutions to the wealth management industry. The firm was established in 2008 and is headquartered in Silicon Valley. Its founders and initial funders were South African nationals who aimed to create a company that could provide sophisticated wealth management advice. The company's co-founders are Kevin Cimring and Michael Blumenthal. Initially, Jemstep operated with a direct-to-consumer model, functioning as a "robo-advisor" before the term became widespread. Subsequently, the company pivoted its strategy to focus exclusively on serving financial advisors.

A significant milestone in the company's history was its acquisition by Invesco Ltd., a global investment management firm, in January 2016. Post-acquisition, Jemstep became a wholly-owned indirect subsidiary of Invesco, allowing it to leverage Invesco's extensive resources and global presence while continuing to operate its open investment platform. The business primarily serves financial institutions such as banks, credit unions, broker-dealers, and Registered Investment Advisors (RIAs). Revenue is generated by providing these institutions with its proprietary technology platform, Jemstep Advisor Pro. This platform is a white-label solution, meaning client firms can customize it to align with their brand and business model.

The core offering, Jemstep Advisor Pro, is an end-to-end digital wealth solution designed to enhance how advisors engage with their clients. Its features facilitate client onboarding, engagement, and servicing, allowing advisors to scale their businesses more efficiently. The platform is designed for flexibility and can be integrated into the existing systems and workflows of advisory firms, supporting both front-end client experience and back-office operations. A key aspect of the service is its open investment architecture, which gives advisors the flexibility to use their own asset allocation models or select from a range of curated models. This allows for the use of various investment vehicles, including mutual funds and ETFs, rather than being limited to market-cap-weighted indexing. The technology provides tools for tracking advisor progress, viewing aggregated client data, and managing risk.