This edition of the Weekly Recruitment Roundup features Snowden Lane Partners recruiting advisors in Florida and Colorado, DFPG Investments launching the Diversify Advisor Network, Constellation Wealth Capital investing in AlphaCore Wealth Advisory, Summit Financial Holdings taking a minority stake in Prostatis Financial Advisors Group, Merit Financial Advisors acquiring ClearBridge Wealth Management, NewEdge Capital Group launching a Bridge Program for ultra-high net worth clients, White Glove merging with TouchFuse to form an omni-channel marketing firm and Andrew Marsh joining the Board of Directors of Wellington-Altus Financial.
Advisor Transactions
1. Snowden Lane Recruits Advisors In Florida And Colorado
New York-based Snowden Lane Partners recently recruited two teams. Schuyler Cayton; his father, Wendell Cayton; and Senior Client Relationship Manager Erika Winters joined as Mountain West Advisors overseeing approximately $100 million in Golden, Colorado. Christian Silva Lima Gherardi and Pedro Pelaez joined as the Gherardi Group in Coral Gables, Florida.
Schuyler Cayton was the principal and owner of Wealth Management Associates of Colorado. Gherardi has nearly 30 years of industry experience. Snowden Lane employs 145 financial professionals, 82 of whom are advisors, across 14 offices in 10 states. The firm had over $4.7 billion in assets under management (AUM) as of its June SEC ADV filing.
“We remain committed to building our presence in Florida and our approach is grounded by adding industry-leading professionals such as Christian and Pedro,” said Greg Franks, Managing Partner, President & COO of Snowden Lane Partners. “Our shared values made them a natural fit for our team, and we’re confident they will continue their success on behalf of their clients at Snowden Lane.”
2. DFPG Investments Launches Diversify Advisor Network
Sandy, Utah-based DFPG Investments announced the launch of Diversify Advisor Network (Diversify), which aims to offer advisors expanded affiliation options along with services such as digital technology, product access and succession planning support. Diversify has approximately $5.8 billion in client assets.
DFPG Investments is an independent broker-dealer that supports advisors of Diversify and has alternative investment solutions. Diversify Advisory Services is an RIA platform that seeks to provide institutional quality services and resources to advisors. Diversify Wealth Management is scheduled to launch this month as an affiliation model for independent advisors to monetize their practice and obtain a direct equity partnership in Diversify.
“As private equity-backed aggregation continues to dominate the industry, it can create long-term uncertainty for advisors,” said Ryan Smith, Co-Founder and CEO of Diversify. He founded the wealth management firm Diversify, Inc. in 2004. “At Diversify, we believe there is an alternative solution, and today’s announcement is the first step.”
Mergers & Acquisitions
3. Constellation Invests In $2.5 Billion AlphaCore
Constellation Wealth Capital made a strategic investment in AlphaCore Wealth Advisory, which manages over $2.5 billion in assets for high net worth individuals, families and institutional clients. This is CWC’s first investment since its inception earlier this year with the goal of providing capital solutions and advisory services for the wealth management industry.
AlphaCore, which provides financial planning services and alternative solutions, plans to use the capital infusion to fuel its expansion by hiring key staff members and conducting M&A deals. Republic Capital Group served as exclusive investment banking advisor to AlphaCore on the investment from CWC.
“We are thrilled to partner with AlphaCore,” said Karl Heckenberg, Managing Partner & Founder of Constellation Wealth Capital. “We believe that this partnership will be mutually beneficial, driving value for both AlphaCore and CWC, while also enhancing the services available to AlphaCore’s clients.”
4. Summit Takes Minority Stake In $310 Million Prostatis
Parsippany, New Jersey-based Summit Financial Holdings took a minority stake in Hanover, Maryland-based Prostatis Financial Advisors Group, an RIA that has over $310 million in AUM and specializes in tax-efficient strategies for high net worth individuals and families.
Prostatis is majority owned and operated by Michael Canet, who also hosts the “Savvy Investor” radio show in Baltimore and has a nationally syndicated podcast. The Summit deal comes with blending upfront cash monetization with equity participation and exclusive partnership privileges. Summit Financial Holdings’ affiliated firms include Summit Financial, Summit Risk Management, Summit Advisory Services, Summit Services IT and Summit Growth Partners.
“Participating in an equitable equity program like Summit Growth Partners enables fiduciary advisors to grow their businesses and establish a lasting legacy for themselves and their families,” said Stan Gregor, CEO of Summit Financial Holdings. “With more than 40 years in business as advisors, Summit deeply understands the needs of a firm like Prostatis and couldn’t be more excited to have Mike and his team join the Summit family to achieve new heights together.”
5. Merit Acquires $300 Million ClearBridge In Atlanta
Merit Financial Advisors acquired ClearBridge Wealth Management, both of which are based in Atlanta. ClearBridge oversees approximately $300 million in assets and Merit managed approximately $9 billion in assets as of Sept. 30. ClearBridge specializes in investment management as well as in business and financial planning for clients.
The firm’s founder, Preston Byers, will join Merit along with ClearBridge’s operations and client support teams. ClearBridge marks Merit’s 22nd acquisition since taking a minority investment in December 2020 from Wealth Partners Capital Group and strategic investors led by HGGC’s Aspire Holdings platform.
“My desire to join Merit was twofold: first, Merit’s strong back-office support team and extensive technology suite will allow me more time to connect with my clients,” Byers said. “Second, the core values of our firms align, which was the primary reason for us to pursue this partnership.”
Strategic Partnerships
6. Program Connects NewEdge Advisors’ UHNW Clients To NewEdge Wealth
NewEdge Capital Group launched the Ultra High Net Worth (UHNW) NewEdge Bridge Program, which enables representatives affiliated with NewEdge Advisors who have UHNW clients to introduce qualified individuals and families to the NewEdge Wealth platform, products and services. The program provides incentive for these reps to keep clients in the NewEdge Capital Group family, with all participating teams sharing in the revenues.
NewEdge Wealth serves UHNW clients with specifically designed platforms and offerings such as alternative investments, family offices services and support across multiple accounts, which is performed by internal parties. NewEdge Advisors is a separate business under the NewEdge Capital Group umbrella that tends to support HNW and emerging HNW clients with platforms and services tailored to this audience.
“NewEdge Wealth was designed specifically to meet the needs of UHNW clients,” said Neil Turner, Co-CEO and Co-Founder of NewEdge Advisors. “By formalizing a program to connect NewEdge Advisors representatives with the team at NewEdge Wealth, we ensure that UHNW clients have access to a level of service, solutions and investment opportunities designed to support their unique needs in a mutually beneficial manner.”
7. White Glove, TouchFuse Merge Into Omni-Channel Marketing Firm For Advisors
White Glove, which is backed by Rockbridge Growth Equity, merged with TouchFuse – which includes the LeadJig, Prospectix and Acquire Direct businesses – to form a full-service, omni-channel marketing services company focused exclusively on advisors. White Glove and TouchFuse will continue operating under their respective brands for the near future.
White Glove provides digital seminar marketing and lead-generating financial education workshops. LeadJig provides tools for running and tracking marketing campaigns. Prospectix provides cloud-based data visualization software that identifies qualified audience members. Acquire Direct provides data-driven, omni-channel marketing campaigns.
“We believe the combination of White Glove and TouchFuse is transformational for the industry, offering financial advisors a one-stop-shop with true omni-channel capabilities and the best of both traditional direct mail and digital media offerings,” said White Glove CEO Greg Bogich. “Advisors will now have more visibility into their marketing campaigns and audiences, as well as improved training and content, so they can spend more time building deeper relationships with their clients.”
Promotions & People Moves
8. Andrew Marsh Joins Wellington-Altus Board Of Directors
Andrew Marsh, the Vice Chairman of Dynasty Financial Partners, joined the Board of Directors of Wellington-Altus Financial, a Canadian wealth management firm launched in 2017 that has over $25 billion in assets under administration (AUA). Marsh has over 30 years of financial industry leadership experience.
He co-founded and ran Canada-based Richardson Wealth, which expanded to more than 160 teams managing over $30 billion before going public in 2020. Wellington-Altus is the parent company to Wellington-Altus Private Counsel, Wellington-Altus USA, Wellington-Altus Insurance, Wellington-Altus Group Solutions, Wellington-Altus Asset Management and Wellington-Altus Private Wealth.
“The aspirational vision that Charlie [Spiring], Shaun [Hauser] and the team at Wellington-Altus have shared with me will be an exciting and rewarding next chapter for clients, advisors and shareholders of the firm,” Marsh said. “I am enthusiastically looking forward to the positive impact I can bring from my past executive roles and personal values in mentoring Shaun and the Executive Committee into their future successes.”
Chris Latham, Managing Editor at Wealth Solutions Report, can be reached at clatham@wealthsolutionsreport.com
