Franklin Templeton, Apex Clearing and Bambu launch Tango robo adviser

Franklin Templeton has launched Tango, a turnkey robo-advisor designed to empower advisers to provide personalised, goals-based wealth management at scale. 

The all-in-one solution is a collaboration between three industry leaders—Franklin Templeton, Bambu, and Apex Clearing. Franklin Templeton provides the personalised, goals-based portfolio management advice to advisors through its proprietary Goals Optimisation Engine (GOE). Bambu's white-label platform is the digital solution for clients and advisors, while Apex facilitates trading and custody through its modern back-end platform built for safety, scale and speed.

 
“Tango is a single solution built on the expertise of three partners, each providing a unique offering for advisors, and it is truly a case of the whole being greater than the sum of its parts,” says Harshendu Bindal, director of Digital Strategy and Wealth Management for Franklin Templeton. “As the industry continues to move towards digital platforms and technology-based services, investors increasingly expect a seamless digital experience. Tango will give advisors the ability to focus on growing their client relationships with professional management, personalised to their client’s specific goals, without the demands of increased back-office responsibilities or up front charges that are typical of many robo platforms.”
 
GOE, a key differentiator in the offering, is Franklin Templeton’s proprietary technology that enables advisors and financial services firms to deliver personalised, high-value services to end-investors at greater scale. Based on proprietary research that won the prestigious Harry Markowitz Award in 2018i, GOE combines Franklin Templeton Investment Solutions’ portfolio construction expertise with dynamic programming to deliver individualised portfolio pathways based upon an individual's unique goals. With the ability to handle multiple investor goals, GOE uses probability of success as the driver for the initial asset allocation and each reallocation in order to maximise likelihood of achieving the goal. Portfolio paths further adapt to client changes and market events.
 
Apex was one of the first companies to digitalise the activities associated with securities clearing and custody to give financial services providers the speed, efficiency and flexibility they need to deliver a better investment experience. Bambu has integrated with Apex's robust suite of application programming interfaces (APIs) that include new account opening, automated customer account transfer systems (ACAT), funding and trading.
 
"From our headquarters in Singapore, we have delivered digital wealth solutions for the most discerning global and US clients. With Tango, we saw an opportunity for a singular offering that makes it much simpler for anyone in wealth management to launch their own white-label robo-adviser. Through a single, bundled relationship, Franklin Templeton, Apex and Bambu have created a turnkey tech-stack combining proven technology, clearing services and professionally constructed portfolios," said Ned Phillips, CEO and founder of Bambu.
 
“Apex is committed to simplifying investing by leveraging technology to bring relevant and cost-effective investment solutions to individuals and the advisors that serve them. Through this exciting new relationship with Franklin Templeton and Bambu, we’re able to do just that,” says Tricia Rothschild, president of Apex Clearing. “Tango is a powerful solution that brings together a frictionless digital experience with open-architecture technology designed to arm advisors and financial services firms with sophisticated goals-based decision-making capabilities that will improve investors’ relationships with money.”
 
Tango is designed for seamless implementation and cost efficiencies that can be deployed quickly and easily into an advisor’s practice. Firms can implement this solution without upfront technology costs in a matter of eight to ten weeks versus several months through competing solutions.
 
Franklin Templeton continues to expand its offerings beyond traditional investment products, which now include planning and advice, digital tools, and advisor and retirement platforms. Tango leverages these expanded offerings to weave active investing strategies and advice into a digital platform, enabling financial planners to efficiently run their businesses with custom, optimised portfolios in an open-architecture environment.