Dynasty Financial Partners has taken a minority equity stake in OpenArc Corporate Advisory, a new RIA, headquartered in Atlanta, founded by a team of former Merrill Lynch Wealth Management advisors that advised on $129 billion in institutional and personal client assets as of Dec. 31, Dynasty and OpenArc announced on Wednesday.
OpenArc “enters the market as one of the largest independent firms in the corporate benefits and private wealth sectors,” it and Dynasty said.
The new RIA, which selected Schwab Advisor Services as its custodian, “introduces a new model that integrates corporate benefits, executive services, and private wealth management — delivered through a high-touch, open architecture platform,” according to OpenArc and Dynasty.
“We picked Dynasty and Schwab for a few core reasons,” Erik Bjerke, Senior Managing Partner and Senior Wealth Management Advisor at OpenArc, told WSR by email. “Strong shared core values: client first in all things, humility, passion, generosity.”
The leadership of both firms “believed in the common vision to do something new and special in the integrated corporate benefits landscape,” Bjerke said.
He added, “We believe they provided the best combined solution for our clients in terms of asset safety and AI driven technology.”
In a press release, Bjerke said, “OpenArc empowers families by delivering the same expert care and resources typically reserved for corporations. It is the powerful integration of corporate benefits and family financial services that we believe will define the future of all wealth management.”
“Our institutional clients have consistently told us that traditional brokerage models no longer meet the needs of their people,” according to Jeff Crowell, Managing Partner, Corporate Strategy at OpenArc. “From C-suite executives to entry-level employees, everyone deserves better tools, greater choice, and personalized service.”
OpenArc’s platform was “designed for large employers in need of a unified approach to employee benefits and financial planning,” according to it and Dynasty.
“The firm’s open architecture model gives companies the opportunity to integrate experienced, proven providers into a seamless benefits experience — delivering both scale and personalization in the process,” the companies said. The firm’s members previously served over 95 Fortune 1000 companies, Dynasty and OpenArc said.
Along with the unspecified minority equity stake that Dynasty has taken in OpenArc, Shirl Penney, Dynasty CEO and Founder, is joining the RIA’s board of directors, the firms said.
“We’re incredibly impressed with the OpenArc team and their vision,” Penney said. “This relationship represents exactly the kind of innovative, client-focused model we believe will define the future of our industry.”
“We are thrilled to welcome OpenArc to the Schwab platform, and we look forward to supporting their success,” said Jon Beatty, Managing Director and Head of Schwab Advisor Services at Charles Schwab.
OpenArc also announced the launch of an OpenArc Charitable Fund. A portion of the firm’s annual net profits will support underserved communities, according to the RIA.
The charitable strategy is being led by Jim Kaufman, Managing Partner and Senior Wealth Management Advisor at OpenArc, who said, “We hire and cultivate people who lead with generosity. This mindset has defined our approach for more than two decades.”
Jeff Berman, Contributing Editor and Reporter at Wealth Solutions Report, can be reached at jeff.berman@wealthsolutionsreport.com.
