Clearwater Analytics Announces Acquisition of Risk and Performance Analysis Solutions from Wilshire Advisors

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Clearwater Analytics, a leading provider of SaaS-based investment management, accounting, reporting, and analysis solutions, has announced the completion of a definitive agreement to acquire the risk and performance analysis solutions from Wilshire Advisors LLC, a global financial services provider. The partnership will enable Clearwater to deepen and strengthen its position in the institutional asset owner market. The acquisition is expected to be completed in the second quarter of 2024, subject to customary closing conditions.

The new platform, Clearwater Wilshire Analytics, will provide improved analysis capabilities for investment managers and institutional asset managers, such as public pension plans, insurance companies, foundations, and funds. The platform will support customers in performance calculation and risk attribution, securities-level portfolio construction, discovery of new strategies, access to high-quality portfolio models, and identifying investment opportunities to maximize returns and minimize risk.

Clearwater intends to invest in building a modern front-end, expanding asset class coverage, and complementing its existing offerings with the capabilities of Wilshire’s platform. This will establish Clearwater as a leading provider of comprehensive and powerful risk and performance solutions, benefiting customers of both companies.

The Wilshire analytics suite has a long history of excellence and acceptance by customers worldwide. Clearwater’s acquisition will accelerate the growth of these analytical tools and broaden their reach to markets that previously had no access to these capabilities.

Clearwater will pay approximately $40 million for the assets of Wilshire and expects to generate approximately $7 million in annual revenue. Wilshire will continue to have access to the analytical software to support its clients.

The partnership between Clearwater and Wilshire aims to provide enhanced solutions for risk and performance analysis, catering to the evolving needs of investment managers and institutional asset owners.

Clearwater Analytics operates in the financial services industry, specifically providing SaaS-based investment management, accounting, reporting, and analysis solutions. The company’s software helps investment managers and institutional asset owners, such as public pension plans, insurance companies, foundations, and funds, in managing their portfolios and optimizing their returns while minimizing risk.

The acquisition of Wilshire Advisors LLC’s risk and performance analysis solutions will further strengthen Clearwater’s position in the institutional asset owner market. The new platform, Clearwater Wilshire Analytics, will offer enhanced analysis capabilities for investment managers, enabling them to make informed decisions based on performance calculation, risk attribution, portfolio construction at the securities level, and identification of investment opportunities.

By integrating Wilshire’s capabilities into its existing offerings, Clearwater aims to become a leading provider of comprehensive and powerful risk and performance solutions. The company intends to invest in building a modern front-end, expanding asset class coverage, and leveraging the analytical tools provided by Wilshire.

The Wilshire analytics suite has already gained recognition and acceptance by customers worldwide, and Clearwater’s acquisition will accelerate its growth and extend its reach to new markets that previously had limited access to such capabilities.

In terms of financials, Clearwater will pay approximately $40 million for the assets of Wilshire. The acquisition is expected to generate approximately $7 million in annual revenue. Additionally, Wilshire will retain access to the analytical software to continue supporting its clients.

The partnership between Clearwater and Wilshire is driven by the shared goal of providing enhanced solutions for risk and performance analysis. By catering to the evolving needs of investment managers and institutional asset owners, the partnership aims to support informed decision-making and ultimately maximize returns while managing risk effectively.

For more information about Clearwater Analytics and its services, visit their official website: Clearwater Analytics.