In a bold move that could reshape how financial advisors develop and manage portfolios, Syntax Data, a leader in direct indexing technology, has teamed up with TradePMR, a brokerage and custodian services provider specializing in independent financial advisors. The collaboration aims to provide advisors with cutting-edge tools to build custom indices, offering investors highly personalized and tax-efficient investment solutions.
Announced at the 2025 T3 Technology Conference in Dallas, the partnership integrates Syntax Direct, Syntax Data’s proprietary custom index platform, into TradePMR’s technology ecosystem. This integration is expected to empower financial advisors with a more efficient, cost-effective means of constructing and managing tailored investment portfolios. As the wealth management industry shifts toward personalization, this move positions both companies at the forefront of the evolving landscape.
The Firms Behind the Collaboration
Syntax Data has long been a name synonymous with innovation in direct indexing. The company provides investment managers and institutions with sophisticated tools to create and manage indices that cater to the unique needs of investors. Unlike traditional indexing methods that passively track market benchmarks, Syntax Direct enables a more dynamic approach, allowing for exclusions, over- and under-weighting of securities, and sector-based customization.
Recent developments have reinforced Syntax’s commitment to advancing direct indexing. In 2024, the company partnered with FTSE Russell to integrate its indices into the Syntax Direct platform, expanding the breadth of investment strategies available to financial advisors.
TradePMR, on the other hand, has built a reputation for providing innovative brokerage and custodial services tailored specifically to the needs of independent registered investment advisors (RIAs). The firm’s cloud-based technology stack and advisor-first approach have made it a favored choice among RIAs looking for high-touch service combined with cutting-edge tools.
By bringing Syntax Direct into its ecosystem, TradePMR is enhancing its ability to offer advisors customizable portfolio solutions that can help differentiate their practices in an increasingly competitive market.
The Promise of Direct Indexing
Direct indexing is one of the fastest-growing trends in the wealth management industry, driven by a demand for increased customization and tax efficiency. Unlike mutual funds or exchange-traded funds (ETFs), which bundle multiple stocks into a single investment, direct indexing allows investors to own individual stocks within an index. This enables advisors to personalize portfolios, implement tax-loss harvesting strategies, and exclude or emphasize specific securities based on investor preferences.
Traditionally, direct indexing was available only to ultra-high-net-worth investors due to the complexity and cost of managing a large number of individual securities. However, technological advancements have made the approach more accessible to a wider range of investors, making it an attractive option for financial advisors seeking to offer more tailored solutions.
The Benefits for Financial Advisors
The integration of Syntax Direct into TradePMR’s platform provides advisors with a host of benefits that align with industry trends favoring efficiency and personalization.
1. Customization at Scale: Advisors can construct bespoke portfolios that reflect individual client goals, risk tolerance, and values. Whether an investor wants to emphasize sustainable investing, exclude specific industries, or overweight certain sectors, Syntax Direct enables these adjustments with precision.
2. Enhanced Tax Efficiency: Direct indexing’s ability to implement tax-loss harvesting strategies can significantly reduce tax liabilities for investors. By selling underperforming securities at a loss to offset capital gains, advisors can optimize tax outcomes, enhancing after-tax returns for clients.
3. Cost Savings and Transparency: Unlike traditional mutual funds, which carry expense ratios and hidden fees, direct indexing allows investors to bypass fund managers, reducing costs. The transparency of owning individual securities also provides greater control over investment decisions.
4. Operational Efficiency: TradePMR’s integration of Syntax Direct simplifies the implementation of direct indexing strategies, making it easier for advisors to manage portfolios at scale. Automation and advanced analytics tools allow advisors to focus on client engagement rather than administrative tasks.
The Broader Industry Shift
The rise of direct indexing comes at a time when investors are demanding more personalized financial solutions. According to a recent study by Morgan Stanley, direct indexing could capture up to $1.5 trillion in assets by 2027 as technology makes it more widely available. The growing preference for ESG (Environmental, Social, and Governance) investing, factor-based strategies, and customized tax solutions are key drivers behind this shift.
Financial technology firms are responding by developing platforms that empower advisors to provide individualized portfolio solutions without adding complexity. The Syntax Data-TradePMR collaboration is a prime example of how fintech innovation is reshaping the industry, offering advisors the tools they need to stay ahead of client expectations.
A Competitive Edge for Advisors
For independent RIAs, differentiation is becoming more critical than ever. Investors have more choices, and the ability to offer customized investment solutions can be a powerful value proposition. By leveraging direct indexing through Syntax Direct, advisors can enhance their service offering and strengthen client relationships.
R. Scott Victoria, Chief Operating Officer of TradePMR, emphasized the importance of technology-driven efficiency, stating, “By integrating Syntax Direct, we are giving advisors a competitive edge in delivering highly customized, cost-effective portfolios that meet the modern investor’s expectations.”
Patrick Shaddow, CEO of Syntax Data, echoed this sentiment, adding, “Advisors today need solutions that go beyond traditional portfolio management. The ability to build personalized indices allows them to create value in ways that were previously out of reach.”
The Future of Fintech and Wealth Management
The partnership between Syntax Data and TradePMR is a glimpse into the future of fintech-driven wealth management. As financial advisors seek to provide more sophisticated, tax-efficient, and personalized investment strategies, direct indexing is likely to play an increasingly pivotal role.
While traditional asset management has been dominated by mutual funds and ETFs, the shift toward customization and technology-driven solutions suggests a future where advisors will play a more active role in portfolio construction. The rise of AI-driven investment tools, machine learning-based risk assessment, and digital advisory platforms further reinforce this trend.
As direct indexing continues to gain traction, firms that embrace innovation will be best positioned to serve the next generation of investors. The Syntax Data-TradePMR collaboration sets a new benchmark for what’s possible in wealth management, proving that technology and personalization are no longer mutually exclusive.
For financial advisors navigating the evolving landscape, partnerships like this signal an opportunity to stay ahead of the curve—offering clients not just better investment options, but a fundamentally better investment experience.
