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Caruth Capital Partners invests in ATA RiskStation

Dallas based middle-market private equity firm, Caruth Capital Partners, has invested growth capital in ATA RiskStation, a provider of cloud-based portfolio risk analytics.

Headquartered in Dallas, TX, and founded by industry veteran and technology entrepreneur, Aladin Abughazaleh, ATA RiskStation provides clients with portfolio risk analytics that process daily, using a multi-model, multi-parameter and multi-time frame approach. The company delivers intuitive web reporting and daily monitoring using customisable risk alerts generated by these analytics daily.

The firm’s product offering provides a fully automated, structured, and customisable daily risk oversight process at the individual household level for wealth managers, registered investment advisors, broker dealers, investment managers and institutional investors.  By saving data for every client, account, scenario, parameter and position with no required software for clients to buy, learn or maintain, ATA RiskStationTM  provides a superior value proposition for its clients, while delivering a risk analytics solution unmatched in the industry.

“This is a product with a proven track record of growing wallet share for the advisors, while simultaneously bolstering the compliance side of the business. This technology will help these institutions to seamlessly transition from the Suitability Standard to the Fiduciary Standard, while increasing revenues at the same time,” says Ben deTar Wilhite, Caruth Co-Founder and Partner.

Tim Wegener, Caruth Co-Founder and Partner, says: “After a lot of time and research, we concluded that there is not another product in the industry like ATA RiskStation. Abughazaleh and his team are disrupting the industry with this product offering and are on the forefront of changing how firms can best serve their clients. We are thrilled to be able to partner with them.”

Aladin Abughazaleh, founder and CEO, says that Caruth’s investment will help accelerate the company’s already aggressive growth strategy by making available their network of relationships at the C-suite level in wealth management firms, investment advisory firms and broker dealer in the US and internationally.

“The timing of the transaction with Caruth could not be any better. Broker Dealers and RIAs are trying to differentiate themselves in a highly competitive environment – including against emerging Robo advisor options. Advisors are trying to coach investors who are nervous about both rising rates and a very old bull market that has recently turned more volatile. ATA RiskStation is ideally positioned to help firms and their advisors increase wallet share from existing clients and grow market share while more effectively engaging with clients about risk and helping them to stay on plan.”

Abughazaleh says: “On a separate but critical front, ATA RiskStation can also help broker dealers and RIAs navigate the rapidly shifting compliance landscape by automatically checking each day that the embedded risks for each client remain aligned with that individual client’s current risk tolerance.  Caruth Capital can be incredibly helpful by providing targeted access to the appropriate decision makers in addition to the capital investment to support our marketing efforts. “

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