Discretionary fund manager Brewin Dolphin has signed a £35m deal with Avaloq to replace its custody and settlement system.
The 10-year deal will see Avaloq take control of installation, ongoing support and maintainance for Brewin’s core system, which the DFM announced last November that it was looking to replace.
In its annual report, Brewin said replacing the system would be the “most significant planned financial investment” it would be making, describing its current system as “nearing the end of its useful life”.
Other wealth management firms to have adopted Avaloq as part of their back office functions include Canaccord Genuity Wealth Management and Coutts, and Avaloq has also helped firms develop apps across the private banking and financial planning space in recent years.
Brewin says Avaloq, which is headquartered in Switzerland has around 160 clients at present, will “significantly enhance Brewin Dolphin’s technology infrastructure” and forms a “a key component of the strategic investment that the group is making to enrich its services and client proposition”.
Brewin Dolphin chief operating officer Grant Parkinson says: “We have created a high-calibre team who have built a detailed implementation plan to deliver this programme.
“The Avaloq system will provide us with a solid foundation for future growth. It gives us significant opportunity to increase straight-through-processing, improve the efficiency of handling client accounts and reduce operational risk. It will also be the basis from which we will deliver future client propositions.”