Existing investors, including Envestnet, also joined the round whose financial terms were not disclosed.
FIDx is a technology-powered network that integrates the brokerage, insurance, and advisory ecosystems to offer insurance and annuity solution
Advisors can use the platform to offer income and downside protection as core components of their clients’ portfolios.
FIDx CEO Rich Romano said: “This growth capital will allow FIDx to bring our platform and services to new markets and distribution channels as we help simplify the sale and management of annuities for industry participants.
“It will enable us to meet the needs of larger distribution firms with billions of dollars in annual annuity sales looking to make FIDx the operating engine of their annuity businesses.”
Currently, FIDx offers a wide range of commission-based and fee-based annuity products through partnerships with 17 insurers. It claims to have $24bn in assets on its platform.
Prudential president of retirement strategies Dylan Tyson said: “To expand access to retirement security, the industry must continue to evolve, finding new ways to bring protected investment and income strategies to more wealth managers and customers.
“The FIDx platform addresses a major piece in this puzzle and represents the spirit of innovation that the industry needs.”
According to Global Atlantic head of strategic growth, individual markets Paula Nelson, the current business model of the annuity industry prevents financial advisors from easily accessing and managing annuities holistically on modern wealth management platforms within the context of their overall client portfolios.
“FIDx is helping to bridge that gap by creating an experience where all carriers can place products on a platform that connects directly to financial professionals both where, and how, they prefer to do business,” Nelson added.