Bain Capital, along with other investors, is buying Envestnet for $4.5 billion, expanding its portfolio to include a financial software vendor that services 16 of the 20 largest U.S. banks. A group of investors including Reverence Capital, BlackRock, Fidelity Investments, Franklin Templeton and State Street Global Advisors are participating in the transaction.

Envestnet 's tools are used by more than 100,000 financial advisors who manage more than $6 trillion in assets. Its offerings include one of the largest technology platforms for asset management as well as access to a variety of mutual funds and exchange-traded funds, complemented by research and asset allocation advice.

PE firms are increasingly focusing on the software and financial technology sectors, which typically offer reliable cash flows and opportunities to expand through acquisitions. Recently, for example, US private equity group Advent International led the US$3 billion acquisition of a stake in Fisher Investments, one of the world's largest registered investment advisers.