Truist Financial in Charlotte, N.C., is selling its institutional retirement investment business in three separate transactions.
The $499 billion-asset company said in a press release Wednesday that it sold its institutional 401(k) investment advisory business to OneDigital Investment Advisors in Atlanta in a deal that closed on Dec. 31. The sale includes investment advisory services for more than 1,200 plans totaling about $10 billion in plan assets.
Truist has also agreed sell two 401(k) recordkeeping businesses to Ascensus in Dresher, Pa., and Empower Retirement in Greenwood, Colo.
Ascensus will buy a former BB&T bookkeeping business that has more than 1,200 retirement plans, 125,000 participants and $5 billion of plan assets. Empower will buy a former SunTrust bookkeeping business with over 300 plans, 73,000 plan participants and $5 billion of assets.
Truist did not disclose the prices of the deals. The company has struggled to cut costs since it was formed in December 2019 by the merger of BB&T and SunTrust. On its third-quarter earnings call in October, executives
“Truist will continue to focus on growth opportunities and make strategic investments in our wealth management business that advance our digital capabilities and expand our team of advisors,” Joe Thompson, Truist’s head of wealth, said in Wednesday's release. “The combination of technology and touch allows us to build trusted relationships with our clients as we partner with them to achieve their greatest potential."
Truist Securities and Alston & Bird advised Truist.
