Cetera Picks Up More Funding From Major Investor
Cetera Financial Group says Genstar Capital is making a reinvestment in its business. The private equity firm, which is Cetera’s majority investor, acquired its first stake in the independent broker-dealer group in 2018.
The news comes less than a month after Cetera announced plans to buy Avantax, formerly Blucora, in an all-cash transaction for $1.2 billion. Dallas-based Avantax has some 3,075 financial professionals focused on tax and wealth management, as well as nearly $83.8 billion in assets under administration and $42.6 billion in assets under management.
“Over the past five years, Cetera has grown from approximately 7,000 advisors and 1,300 employees supporting $242 billion of assets under administration in 2018 to [about] 9,000 advisors and 2,000 employees supporting $374 billion of AUA today,” according to Cetera Financial Group CEO Adam Antoniades.
Genstar’s latest investment in Cetera will mainly come from its newest fund, Fund XI, and additional capital from Fund X. Overall, Genstar has some $49 billion in assets under management.
