SEI Investments Company SEIC

The business

SEI does two different things that share one set of plumbing. First, it sells the operating system for the investment industry: the technology and outsourced back-office that banks, wealth managers, fund companies, and institutions use to run client accounts, administer funds, and process transactions. Second, it manages money itself, both through its own strategies and through a large minority stake in LSV Asset Management, a quant value shop. The reported segments are Private Banks (the SEI Wealth Platform sold to banks), Investment Advisors (technology and models for independent advisors), Institutional Investors (outsourced pensions and nonprofits), Investment Managers (fund administration and services), and the LSV stake on top.

The concentration that matters is not a customer, it is a growth driver: Investment Managers is the engine. In Q1 2026 it did roughly \$221 million of revenue, up about 15%, and it is the fastest-growing and most strategically important segment because it rides the secular shift toward outsourced fund administration, especially in alternatives. Private Banking, long the problem child, has turned: revenue up 11% and operating profit up 40% last quarter as years of platform investment finally show operating leverage. LSV is the wildcard on the other side of the ledger, a high-margin earnings contributor whose assets have been roughly flat-to-declining as quant value drifts in and out of favor, so it props up earnings today but is not a growth source. What changed recently is breadth: under CEO Ryan Hicke the company has gone from one or two segments working to most of them growing at once, which is why Q1 2026 showed 13% revenue growth, 20% EPS growth, and margin expansion together.