is planning to boost its spending on technology and operations in a bid to stay ahead of rivals. The Wall Street Journal
reports that the plan -- called "Financial Wellness" by CEO Al West
-- calls for SEI to increase its spending on its electronic trading capabilities and processing operations.
The firm may spend as much as 10 to 12 percent of its revenues on new technologies and initiatives this year, up from 8 percent to 10 percent in the past. The increase would theoretically boost SEI's absolute spending on strategic initiatives and capital projects to as much as $74 million from $60 million previously.
The Oaks, Pennsylvania-based firm also plans to upgrade its investment advisor platform technology and offer up new products and services for advisers to distribute, according to the report. The new products are a response to advisors' increased demand for alternative investments. The firm will also seek to capture the business of plan sponsors looking to outsource their pension administration.
West reportedly told investors that the increase in spending is part of an effort to stay in front of rivals. "The more they copy and the more time you give them, eventually they'll finally get it right," the paper reports West as saying.
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