Cetera Financial Group announced Thursday that it added about $1.9 billion in client assets by acquiring the wealth management business of Darnall Sikes Wealth Partners, a Louisiana wealth management firm serving high net worth individuals, business owners and their families.
Prior to the deal, there had already been a longtime affiliation between Darnall Sikes and Avantax, a financial services firm specializing in tax-focused wealth management that Cetera bought for $1.2 billion in 2023.
The Darnall Sikes team, which serves clients in over 40 states from four locations in Louisiana, joined Avantax Planning Partners within Cetera’s RIA and Braches channel that the firm launched in June.
The acquisition strengthens Darnall Sikes’ growth strategy and provides succession solutions for its advisors, Cetera said.
“This expanded relationship with Darnall Sikes underscores Cetera’s leadership in supporting advisors throughout every phase of their professional journey,” Jen Hanau, RIA and Branches Channel Leader at Cetera, said in a news release.
“More than ever, financial advisors and institutions are choosing Cetera as their “forever home” – a place where they can grow, evolve, and ultimately transition their practices with confidence.”
She added, “We’re thrilled to welcome members of the Darnall Sikes Wealth Partners team and look forward to serving clients together for years to come.”
Darnall Sikes & Frederick, an affiliated Louisiana-based CPA firm, remains independent and entered into a “long-term, strategic partnership with Cetera to further support shared clients,” Cetera also announced.
“This strategic partnership with Cetera brings clear and compelling benefits to our team, our shared clients, and the long-term growth of our business,” John P. Armato, President of Darnall Sikes & Frederick, said in the news release.
Armato added, “This next chapter reflects our shared commitment to putting clients first, and we are confident that expanding our collaboration with Cetera provides a strong foundation for the future. This partnership represents a meaningful step forward in the evolution of Darnall Sikes & Frederick.”
“As we explored the future of our business, our top priority was ensuring continuity for our clients and providing proven succession pathways for our team,” according to Jed Inzerella, a Financial Advisor at Darnall Sikes who joined Avantax.
“This transaction delivers best-in-class support in both areas – positioning us for long-term success,” Inzerella said. “By maintaining our affiliation within the Cetera community, we’re expanding the services we offer, deepening client relationships, and growing our business with a clear, strategic vision for the future.”
The transaction represents the latest growth for Cetera’s RIA and Branches channel, which supports independent RIAs, its owned W-2 RIA businesses, and the supported independence branches model.
As of Sept. 30, Cetera firms managed about $625 billion in assets under administration (AUA) and $284 billion in assets under management (AUM), it said.
Jeff Berman, Contributing Editor and Reporter at Wealth Solutions Report, can be reached at jeff.berman@wealthsolutionsreport.com.
