DST to Acquire Rollover Provider WMSI

DST, a global provider of data management, business processing, and customer communication solutions, has agreed to acquire Wealth Management Systems Inc. (WMSI), a provider of rollover services and financial planning and education solutions to the retirement services industry.

On completion of the deal, WMSI’s suite of services and rollover solutions will come to market as part of DST Retirement Solutions, a provider of defined contribution technology, strategic advisory and business processing solutions to the industry.

According to Jude Metcalfe, president of DST Retirement Solutions, the firms’ complementary technologies will come together at a critical time in the retirement marketplace. “As a normal consequence of the nation’s aging demographics, there’s a predictable migration of funds from retirement plans to investment management platforms,” says Metcalfe. “This acquisition of an established leader in the rollover business places us squarely at that point of intersection. I think DST is uniquely positioned now to help asset managers and broker-dealers grow and retain assets in the retirement space.”

With more than 40 firms participating in its network, WMSI is connected to recordkeepers servicing more than 12 million participants, and provides automatic rollover services to more than 25,000 plan sponsors. In addition to its New York City location, the firm has offices in West Palm Beach, Florida; Boston; and Waltham, Massachusetts.

As part of the DST Enterprise, WMSI and its employees will become part of the DST Retirement Solutions business unit.

The acquisition is subject to certain approvals and other closing conditions.