RIA Deals Surged to Near Record in Q1: Echelon

Private equity acquirers in the first quarter made direct investments in wealth managers with assets totaling $201 billion. The subcategory announced 12 transactions, representing a 71.4% increase over the previous quarter.

Notable minority transactions included Constellation Wealth Capital’s direct investment of $19.1 billion in Lido Advisors and its separate $6.5 billion investment in Perigon Wealth Management. 

The quarter also saw notable majority investments by private equity firms, including Flexpoint Ford’s acquisition of Public Trust Advisors with $80 billion in assets under management.

Wealthtech continues to attract many firms that are looking to service the growing wealth management market. In the first quarter, there were 13 transactions, seven fewer deals announced than in the previous quarter, but with a diversity of acquirers ranging from private equity to fintech platforms to venture capital. 

Deal activity, too, persisted in its diversification, featuring transactions spanning marketing, portfolio management, compliance and other areas.