Vanguard Group has agreed to acquire Culver City-based wealth technology and digital custody platform Altruist, the companies announced August 26, in a deal valued at roughly $4 billion according to the Wall Street Journal.

The acquisition marks a significant expansion of Vanguard’s presence in Los Angeles County’s growing financial technology sector. Altruist combines a self-clearing brokerage with software for account opening, trading, portfolio management, billing, and reporting, positioning Vanguard against competitors including Charles Schwab and Fidelity Investments in the registered investment advisor custody market.

Vanguard first invested in Altruist in 2020 as part of its strategy to bolster competition in the registered investment advisor arena. The new acquisition will see Altruist operate as a standalone business following closing, retaining its leadership, brand, and operating model.

Chief Executive Salim Ramji, who leads Vanguard, said the deal reflects a significant opportunity to build on the strengths of two complementary organizations. As more investors in Vanguard funds choose to work with financial advisers, the company sees the wealth tech platform as a strategic asset for serving that channel.

For Los Angeles, the deal represents another major exit for a locally based fintech company. Altruist was incubated and built in Culver City, a city that has become an increasingly attractive location for technology companies seeking proximity to entertainment industry talent while benefiting from more affordable real estate than Silicon Valley or the Westside.

The acquisition also highlights the competitive dynamics in the wealth management technology space. Charles Schwab, which has a significant presence in Los Angeles County, has dominated the RIA custody market for years. Vanguard’s acquisition of Altruist signals its intent to compete more directly for advisor relationships and the assets they manage.

The transaction is expected to close in the coming months, subject to regulatory approval. The firms did not disclose exact terms in their public announcement, and the $4 billion valuation was reported by the Wall Street Journal citing people familiar with the transaction.

The deal adds to a busy year for Los Angeles-area mergers and acquisitions, with local companies across technology, entertainment, and consumer products attracting interest from national and global buyers.

Sources: Los Angeles Business Journal, Wall Street Journal.