Natalie Wolfsen will restore Orion's 'standalone' RIA software strategy but also create a simpler bundle for smaller RIAs, and evolve the super-bundle

Orion Advisor Solutions hired Natalie Wolfsen to solve how to make a series of acquisitions function as a single well-oiled machine with its existing enterprises. 

Asked whether RIAs should read a shift away from Orion's superbundle-or-bust strategy toward something more nuanced – or even evoking the past, Wolfsen answered affirmatively.

“I do believe this is a shift,” she says. “I plan to place a high premium on flexibility.”

Since she took over in September a year ago, the Omaha, Neb., RIA software giant has a new wrinkle.  Its future-looking vision includes a healthy dose of retro-RIA software thinking – namely selling applications on a standalone basis.

Orion reported on June 26th that “later this summer” it will make Eclipse, its trading and rebalancing software, into a standalone offering.

“By offering trading as a standalone solution, Orion eliminates many of the challenges large wealth advisory firms and RIAs can face when attempting to comprehensively transition everything to a new platform solution,” the release reads. 

“This flexible approach enables firms to seamlessly integrate new technology and processes as their needs evolve and at their own pace.”

Going à la carte

Already this year, Orion launched “standalone” compliance and risk software packages from previously acquired firms Basis Code and Hidden Levers. See: Orion buys BasisCode to tame its own data tiger including HiddenLevers and the roiling IT trove of 2,200 RIAs with $1.7 trillion AUA

Each firm was acquired in 2021, but until this year has operated under the radar as bundled components. See: Eric Clarke moves lightning fast to close HiddenLevers deal -- saying its hidden virtues in taming the 'investor problem' make it an ASAP matter

“Orion's new à la carte and bundled offerings allow advisors to tailor their approach and conduct business as they see fit – choosing from fully in-sourced to fully outsourced technology and/or wealth management solutions and everything in between,” the company writes in a release. 

By delivering both standalone and all-encompassing solutions, Orion is equipping advisors with the resources and support they need to succeed at every stage of their firm's growth journey."

Downmarket play

Wolfsen has held Orion's CEO reins for about eight months, but after just two months, it began to become clear from listening to RIAs that selling single applications should not be a thing of the past – even at a “bundle” company like Orion.

“We really need to listen,” Wolfsen says.

Not all the listening involves turning bundled products into à la carte offerings.

Orion is also rolling out Foundation Stack to go downmarket to small RIAs that want a bundle. Call it a “starter kit” that includes discounts, portfolio accounting, billing and full reporting functionality.

This new “stack” follows the rollout last year of Orion Stacks, now used by nearly 20% of Orion’s technology clients.

Increasingly, emerging custodians like Altruist, TradePMR and Apex are focusing on offering inexpensive starter-kit bundles of RIA technology. 

Emerging software companies like Advyzon are offering smaller bundles of software with prices that are below legacy providers. See: Orion surprises RIAs with 8.9% price jump, effective April 1 (no joke!); blames 'extreme inflation' -- a possible boon for upstart competitors

Flexible ecosystem

Orion, however, is signaling that it will live the paradox of “banishing” siloed technology, even as it works toward establishing more silos.

"Orion Stacks were designed to banish siloed technology and provide advisors with a cohesive experience that propels productivity, delights clients and drives firm growth. 

“By seamlessly integrating every critical solution into one agreement with a single provider, Orion removes complexity and helps advisors focus on growing and scaling their business,” the release states. 

“At the same time, by also offering Orion solutions as standalone offerings within its unified, flexible ecosystem, Orion provides firms the flexibility to engage with the platform and work with Orion in a way that best meets their current needs.”

The risk game

Orion's introduction of risk software follows the No. 1 risk player, Riskalyze, which changed its name to Nitrogen to emphasize a broader marketing objective.

Manish Khatta and HiddenLevers co-founder Praveen Ghanta are also seeking to help fill that void.  See: Manish Khatta joins forces with HiddenLevers co-founder Praveen Ghanta to launch GuardRails, a risk analysis play that rejects raw 'risk numbers' -- a 'game-changer' in the scale-minded RIA space, analyst says

Wolfsen is adamant that Orion's risk software's “risk scores” leapfrogged existing players in key respects. For example, it accounts for the fact that men and women perceive risk differently.

“An average is painful,” she says.

The new risk numbers also implement AI in the process. 

Artificial intelligence helps fashion a rough draft communication with end investors. The risk numbers on the Orion system also get ported directly to CRM for easier use.