Victory Capital Holdings, Inc. (NASDAQ: VCTR) announced on Monday that it plans to expand its Direct Investor channel, which provides investment management services directly to retail investors. The move comes as part of the firm's broader strategy to enhance its retail offerings and increase its presence in the direct-to-consumer market.
According to Victory Capital's CEO, David Brown, the firm has been testing the channel for several months and has seen strong demand from investors. "We believe that there is a significant opportunity in the direct-to-consumer space, and we are committed to building out our capabilities in this area," he said.
The Direct Investor channel is part of Victory Capital's broader retail platform, which includes a range of mutual funds and ETFs. The channel will offer investors access to Victory Capital's investment strategies, including its actively managed funds and its quantitative strategies.
The expansion of the Direct Investor channel is just one of several initiatives that Victory Capital has undertaken to enhance its retail offerings. The firm has also been expanding its digital capabilities, launching a new website and mobile app earlier this year.
The move comes as other financial firms are also looking to expand their direct-to-consumer offerings. Charles Schwab, for example, recently acquired the assets of USAA's investment management company, which included its brokerage and managed portfolio businesses.
USAA Real Estate, which acquired the balance of Square Mile Capital earlier this year, will soon integrate their investment management platforms under a new corporate brand name. The two companies have been partners for a decade and the move is expected to strengthen their position in the real estate investment market.
Victory Capital Management, formerly USAA's asset management arm, is also a highly positioned owner of Zions Bancorporation. The firm spun out into its own company in 2013 and has since grown to manage over $150 billion in assets.
USAA Federal Savings Bank, however, saw a decrease in total assets in 2022 after years of steady growth. The privately held company has been a major player in the banking and financial services industry for decades.
Meanwhile, the Public Investment Fund of Saudi Arabia is embarking on a PR effort to promote its vision and initiatives in the US. The move comes as the fund looks to expand its global presence and attract more investors to its portfolio.
In addition to its retail offerings, Victory Capital also provides investment management services to institutional clients, including pension plans, endowments, and foundations. The firm has offices in several locations across the US and employs over 1,000 people.
