Morningstar Plans Crossovers After Integration

Chicago-based research provider Morningstar is looking to develop combined products with its latest acquisition, Sydney-based equity information provider Aspect Huntley, according to Scott Cooley, chief executive officer of Morningstar Australia and New Zealand.

"We're excited about the potential for combining products in the future, because there are several Morningstar products that overlap with Aspect Huntley's tools," Cooley says.

For example, Morningstar Advisor Workstation, a Web-based investment planning system, and Principia, an investment research software, both of which are designed for financial advisors, could be integrated with Aspect Huntley's products for brokers, he says. Two other Aspect Huntley products-Dat Analysis, a company information database on ASX-listed and de-listed companies, and Fin Analysis, a source of listed company financial history and analysis-could also offer synergies.

Cooley says Morningstar will work closely with Aspect Huntley over the next month to formulate ideas for crossover products.

"We'd also like to hear from our clients to see which new market data products will best suit their needs and what they're interested in," he adds.

There have been no layoffs since the acquisition, and Cooley says employees from the two companies may be brought together to work as a team. Aspect Huntley will be run as a division of Morningstar.

Morningstar signed a $22 million deal to purchase Aspect Huntley last month (IMD, July 17).

In its interim financial results two weeks ago, Morningstar highlighted another recent acquisition, Ibbotson Associates, which contributed $11.2 million to first-half revenues of $146.3 million, up 34 percent over the previous year. Ibbotson's Investment Consulting and EnCorr products led the incremental revenue, according to the results statement. Morningstar bought Ibbotson for $83 million earlier this year (IMD, March 13).

Chi-Chi Zhang with Max Bowie