What NextFolio does

NextFolio is a privately held U.S. asset management firm that builds data-driven active equity strategies through its proprietary "Ensemble Active" approach. The firm applies machine learning to publicly available fund holdings data — primarily N-Port filings — to construct daily replication portfolios of mutual fund holdings, achieving over 99% correlation with daily fund NAV changes. Using ensemble methods across a curated set of 10-15 institutional managers, NextFolio identifies high-conviction stock picks and packages them into style-pure portfolios spanning all nine Morningstar style boxes (Large/Mid/Small Cap, each with Core/Growth/Value variants).

The company's core technology platform converts quarterly holdings data (which has a 60-day filing lag) into estimated daily holdings via machine learning, providing real-time visibility into institutional managers' stock selection. Its flagship offering, Ensemble Active Portfolios, focuses exclusively on high-conviction ideas to eliminate "diversification ballast" and bypass multiple layers of fund-of-fund fees. The product suite also includes Ensemble Alpha, a proprietary performance metric that quantifies the excess returns from the ensemble approach. Investment advisory services are delivered through a partnership with Brookwood Investment Group LLC, an SEC-registered investment adviser headquartered in Phoenix, Arizona, while NextFolio LLC operates as a separately owned, independent entity based in Traverse City, Michigan.

NextFolio sells institutional-grade, ready-to-implement strategies to financial intermediaries and asset allocators — specifically banks, RIAs, broker-dealers, institutions, and family offices — under a recurring advisory model. The firm was founded in 2024 by Jeff Seiple and Paul Ahern (Co-Founders) along with Stephen Beinhacker, CFA (CIO), collectively bringing over 60 years of wealth management experience. Although the legal entity is dated 2024, the underlying strategies have live inception dates ranging from September 2019 (Large Cap Core) through October 2022 (Small Cap Growth), indicating the platform was developed and seeded under predecessor arrangements before the formal launch of the NextFolio brand.

Name

NextFolio

Legal name

NextFolio LLC

Website

https://nextfolio.ai

Company type

Private

Founded year

2024

Operating status

Operating

Short description

NextFolio is a U.S. asset management firm that uses machine learning and ensemble methods to build active equity portfolios from real-time holdings of institutional mutual fund managers, serving banks, RIAs, broker-dealers, institutions, and family offices.

Ownership category

akta.pro rank

Product category

Active Equity Asset Management

NAICS

Portfolio Management and Investment Advice (523940), Portfolio Management and Investment Advice (52394)

SIC

Investment Advice (6282)

akta.pro primary industry

Multi-Manager / Multi-PM Platforms (FSAHAKAD)

akta.pro secondary industry

Alternatives & Multi-Asset Digital Wealth Platforms (PE/VC/Real Assets access) (FSAGAEAL)

Keywords

• Active equity management
• Machine learning investing
• Ensemble investment strategies
• Asset management services
• Portfolio management

Headquarters

HQ city

Traverse City

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Technology or R&D, Marketing or Sales, Operations

Revenue model

1. Investment Advisory Services: NextFolio LLC offers Investment Advisory Services through Brookwood Investment Group LLC, an SEC-registered investment adviser. The firm provides institutional-grade Ensemble Active Portfolios to financial institutions.

Go-to-market motion1 record

Distribution channels1 record

Marketing channels5 records

Core offering

NextFolio provides institutional-grade Ensemble Active Portfolios—nine style-pure domestic equity strategies spanning all Morningstar style boxes—that use machine learning and ensemble methods to identify high-conviction stock picks from a curated set of 10-15 institutional mutual fund and ETF managers. Advisory services are delivered through partner Brookwood Investment Group LLC, an SEC-registered investment adviser. The portfolios are constructed from real-time replicated daily holdings rather than by investing in the underlying funds directly, eliminating multiple layers of fund fees.

Product overview

NextFolio offers a unified investment platform called Ensemble Active, which provides nine distinct portfolio strategies spanning all Morningstar style boxes (Large, Mid, and Small Cap, each with Core, Growth, and Value variants). The platform uses machine learning and ensemble methods to analyze real-time daily holdings of mutual funds and ETFs, identifying high-conviction stock picks from a curated set of 10-15 institutional managers. The portfolios are style-pure (each contains only stocks from its corresponding benchmark) and consist solely of long-only domestic equity securities. Key offerings include the Ensemble Active Portfolios, the Ensemble Alpha performance metric, and the underlying technology platform for holdings replication and stock selection.

Differentiator

Problem solved

Functional benefit

Brands

• Ensemble Active™: NextFolio's proprietary investment approach that uses ensemble methods and machine learning to identify high-conviction stock picks from curated institutional fund managers. Ensemble Active Portfolios focus on real-time holdings of mutual funds and ETFs to construct portfolios reflecting high-conviction stock selection.
• Ensemble Alpha™

Products and services

• Ensemble Active Portfolios The core product family—nine style-pure domestic equity portfolios covering all Morningstar style boxes—built by tracking real-time daily holdings of mutual fund and ETF managers and using ensemble machine learning methods to identify high-conviction stock picks from a curated set of 10-15 institutional managers. Offered to banks, RIAs, broker-dealers, institutions, and family offices through Brookwood Investment Group LLC.
• Large Cap Core Ensemble Active Portfolio Style-pure domestic equity portfolio holding only stocks from the Russell 1000 Large Cap Core benchmark, constructed from high-conviction picks identified through Ensemble Active replication of institutional manager holdings.
• Large Cap Growth Ensemble Active Portfolio Domestic equity portfolio focused on growth stocks from the Russell 1000 Large Cap Growth benchmark, capturing high-conviction growth ideas identified across a curated set of institutional managers.
• Large Cap Value Ensemble Active Portfolio Domestic equity portfolio focused on value stocks from the Russell 1000 Large Cap Value benchmark, capturing high-conviction value ideas identified across a curated set of institutional managers.
• Mid Cap Core Ensemble Active Portfolio Domestic equity portfolio holding only stocks from the Russell Midcap Core benchmark, tracking high-conviction picks identified through Ensemble Active replication of institutional manager holdings.
• Mid Cap Growth Ensemble Active Portfolio Domestic equity portfolio focused on growth stocks from the Russell Midcap Growth benchmark, capturing high-conviction growth ideas identified across a curated set of institutional managers.
• Mid Cap Value Ensemble Active Portfolio Domestic equity portfolio focused on value stocks from the Russell Midcap Value benchmark, capturing high-conviction value ideas identified across a curated set of institutional managers.
• Small Cap Core Ensemble Active Portfolio Domestic equity portfolio holding only stocks from the Russell 2000 Small Cap Core benchmark, tracking high-conviction picks identified through Ensemble Active replication of institutional manager holdings.
• Small Cap Growth Ensemble Active Portfolio Domestic equity portfolio focused on growth stocks from the Russell 2000 Small Cap Growth benchmark, capturing high-conviction growth ideas identified across a curated set of institutional managers.
• Small Cap Value Ensemble Active Portfolio Domestic equity portfolio focused on value stocks from the Russell 2000 Small Cap Value benchmark, capturing high-conviction value ideas identified across a curated set of institutional managers.

Quantifiable outcome

• Over 99% correlation with daily fund NAV changes through replication technology

Segments5 records

Ideal customer profiles2 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

AI capability3 records

Feature3 records

Scale indicators4 records

Direct peers

• Research Affiliates: Research Affiliates is a pioneer in systematic and fundamental index investing (RAFI), using quantitative methods to construct equity portfolios. Like NextFolio, it builds data-driven equity strategies outside traditional single-manager active funds, and indirectly competes for institutional active-equity mandates.
• Gabelli Funds: Gabelli is a long-standing active equity manager known for value-oriented fundamental research. It serves institutional and wealth channels and competes in the same style-box active equity categories NextFolio is targeting, particularly value and small/mid cap.
• Dimensional Fund Advisors: Dimensional is a leading systematic active equity manager using empirical research and factor-based portfolio construction. It serves banks, RIAs, and institutions — NextFolio's exact target buyer profile — and competes in the same machine-learning-informed, actively managed US equity space.
• Acadian Asset Management: Acadian runs quantitative equity strategies across global markets using systematic models and multi-factor signals. Its institutional client base and active US equity offerings directly overlap with NextFolio's enterprise sales motion toward banks, RIAs, and institutions.

Broad incumbents

• BlackRock: BlackRock is the world's largest asset manager with iShares ETFs and active equity franchises including systematic strategies. Its institutional relationships and product breadth represent both a competitor and a potential partner/distributor for ensemble-active offerings.
• Goldman Sachs Asset Management: Goldman Sachs Asset Management is a large incumbent with active equity, factor, and recently launched ML-driven ETF strategies. Its scale, brand, and institutional distribution make it a relevant structural competitor for institutional mandates NextFolio pursues.
• GMO (Grantham, Mayo, & Van Otterloo): GMO is a well-established asset manager with quantitative and fundamental active equity strategies. It serves institutional and wealth management clients, with overlapping products in US large/mid/small cap active equity, though it operates across a much broader strategy set.
• WisdomTree: WisdomTree is a major ETF sponsor offering factor- and fundamental-weighted equity strategies. Its US equity factor ETFs overlap with NextFolio's style-box coverage and compete for the same RIA and broker-dealer wallet share.

Emerging players

• Qraft Technologies: Qraft is an AI-driven asset management firm using machine learning for stock selection and ETF portfolio construction. It is the closest comparable to NextFolio in terms of AI/ML-based active equity and ETF launches, though it operates more in the ETF-wrapper format.
• Alpha Architect: Alpha Architect is an empirical finance firm offering factor-based ETFs and quantitative strategies. It addresses the same 'modern active management' critique as NextFolio and competes for the same RIA and wealth management channel.

Market position

Strengths5 records

Weaknesses5 records

Key risks6 records

Key highlights6 records

Customer concentration

• YouTubeyoutube.com/@NextFolioEAM

Revenue estimate

Valuation estimate

Number of profiles

Profiles3 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about NextFolio