Captrust Adds $ 2.1 Billion to Double RIA Acquisition
Captrust Financial Advisors made two RIA acquisitions at the start of the summer and added around $ 2.1 billion to its assets.
Raleigh, NC-based RIA announced Tuesday that it had purchased $ 1.3 billion in McQueen, Ball & Associates and $ 770 million in Cornerstone Capital Advisors. The deals are Captrust’s second and third acquisitions in 2019. The financial terms of the transactions were not disclosed.
Both of Captrust’s newest offices specialize in wealth management for individuals and families and complement the company’s existing presence in Pennsylvania and Ohio. McQueen, Ball & Associates is based in Bethlehem, Pennsylvania and Cornerstone Capital Advisors is based in Green, Ohio.
“We are very excited to have both groups join us,” said Wilson Hoyle, head of Captrust’s advisory group. “We are very excited for two reasons. For one, in both cases we are adding significant asset companies in markets where we already have an established institutional presence. For us it was always a formula for growth. The second thing is… we’re adding really great, talented and experienced consultants to the team. ‘
In March, Captrust added a $ 13 billion team of retirement plan advisors from FiduciaryVest, the first deal of 2019. The acquisitions on Tuesday increased Captrust’s advisors to 200 and increased total assets under management to $ 300 billion.
Captrust added $ 65 billion in new client assets in 2018 and has made more than 30 acquisitions since 2006. Founded in 1997 by Fielding Miller (pictured above), the company has grown steadily by balancing its planning advisory business with its wealth management activities. The company posted sales growth of 21.5% in 2018.
As Hoyle explained, Captrust does not function like a roll-up, although it does frequently acquire companies.
“Unlike the other models out there, they seem to be all about growth through acquisitions and they really don’t offer that much value to the customer,” said Hoyle. ‘We are eager to find consultants. Regardless of what the market is like or not, we are looking for consultants and companies looking for a catalyst for growth. When looking for ways to grow, we think our story is as compelling as any other. ‘