(Bloomberg) -- InvestCloud Inc., a financial-technology provider backed by JPMorgan Chase & Co., is in the early stages of considering an initial public offering, amid strong investor demand for asset-management software providers, according to people familiar with the matter. 

The company is talking to potential advisers about an IPO next year, said the people, who asked not to be identified because the matter isn’t public. The firm is likely to be valued at well over $1 billion, one of the people said.

A final decision hasn’t been made and InvestCloud could opt to remain private, they said.

A representative for InvestCloud, based in the Los Angeles area, didn’t immediately respond to a request for comment.

InvestCloud competes with industry players such as Envestnet Inc. in providing software as a service to wealth and asset managers. The firm has carved out a niche as an outsourcer for handling some of its clients’ investing, technology and fiduciary duties.

Investors see a lot of growth in the space as financial services increasingly migrate online. InvestCloud’s IPO considerations follow successful market debuts for wealth technology providers Clearwater Analytics Holdings Inc. and Enfusion Inc. Clearwater Analytics is up 26% since going public in September, while Enfusion has gained about 35% since its October listing.

JPMorgan announced an equity investment in InvestCloud in 2016, saying at the time that it would also partner with the firm to develop new digital capabilities for the bank’s clients.

InvestCloud completed a recapitalization at a valuation of $1 billion in February, with new backing from firms including Motiv Partners and Clearlake Capital Group, according to a statement at the time. 

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