Mintz Levin sells its $1.2 billion RIA, and Focus Financial nabs the assets through a partner firm
In an all-Boston deal, The Colony Group becomes a $2.5 billion behemoth only months after hooking up with the big New York consolidator
Jeff Spears
Accountants and lawyers started wealth management businesses during the wealth management bull market (my term). They were successful because they could actually cross sell their clients wealth management services which charged a annual fee vs a one time fee.. It was also a good business model because the clients trusted their accountants and attorneys and “anyone could make good investment decisions”....
Interesting that as we have entered the wealth management bear market (my opinion) that wealth managers see the need to merge with accounting firms and law firms and visa versa.
Wonder what clients think about these changes?
Jamie McLaughlin
Clients are either confused by or oblivious to these corporate actions. As long as their relationship manager or team is unchanged and there’s a presumption of greater resources (i.e. services), they will grant their consent and stay the course.
This passive tolerance will be tested, however, should the parent (in this instance, Focus Financial, wish to exit). Size may confer some operating leverage for any individual firm or roll-up strategy, but clients prefer the client experience of a boutique.
This “tension” between the firm-level business economics and the client experience is at the heart of the challenges facing the industry.
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Another A-list RIA Schwabbie lands on his feet -- this time at DeVoe & Co. -- after TD Ameritrade merger displacement of 2,000-plus
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Shirl Penney hands over 'front end of the house' to Andrew Marsh as Dynasty reboots -- post-$100-million raise, post-IPO withdrawal and post-Schwab partnering
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Compliance Expert, RIA Set-up Firm, Regulatory Consultant
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DeVoe & Company
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Top Executive: David DeVoe
