Steward Partners, a network of employee-owned and private equity-backed financial advisory practices overseeing approximately $32 billion in client assets, is adding five advisors and $488 million in client assets with two additions under a new acquisition model introduced through acquisition at the end of last year.
In Virginia Beach, Va., Monaco Capital was founded in 2003 by Joseph Monaco, an economics doctor who previously spent time at Prudential Securities and UBS. Monaco, who is joining Steward's Virginia Beach office, manages about $175 million for more than 430 families and a dozen institutional investors.
Saling Simms, in Columbus, Ohio, includes four advisors overseeing $314 million for more than 450 families and 57 institutions. Led by President Jim Saling and Vice President Brent Simms, the team represents Steward's first office location in Ohio.
Both firms previously operated as independent RIAs and are joining Steward under its new Legacy Division, which was created last year to provide a destination for advisors needing a succession plan. The division was created with the acquisition of Freedom Street Partners, a 7-year-old firm with 28 advisors, 17 locations and $3.2 billion in assets under management. Freedom Street CEO Scott Danner now manages the division alongside Steward's executive leadership team.
“The teams at these two respective firms have spent their entire careers shouldering the financial burdens of their clients,” Danner said in a statement. “Our goal at Steward is to hold that for them, ensuring seamless continuity as these advisors transition to the next chapter of their careers and their clients to the next stage of their lives.
“I have no doubt that this will be a smooth transition for all involved,” he added.
Firms acquired by Steward are given the option of co-branding, adopting the Steward name or merging with the Heritage Division. Equity is provided as part of the transaction and talent is usually brought on a W-2 basis, but not always.
said CEO Jim Gold Wealthmanagement.com Full buyouts are preferred, but he is open to other deals in the right situations.
“We pride ourselves on flexibility and optionality, so we're not going to draw any lines in the sand, but I think our general premise will be that we want to buy everything,” he said in November. “If there's a really, really great opportunity that's a minority stake or a majority but not a whole acquisition, we'll certainly look at it and see if it makes sense.”
established in 2013, Steward has recently focused on providing options to attract consulting talent. In addition to the new division, the firm has W-2, Only RIA AND 1099 affiliation models and went with great care with the addition of Pershing last year. A “refresh” of the 2023 brand was completed in February when Steward Partners dropped Global Advisory from its name.
Majority-owned by employees and backed by equity from Cynosure Group and the Pritzker Organization, as well as a $140 million credit facility, the firm has grown assets from $50 million to $32 billion over the past decade, largely through recruiting disconnected from the wire.
After adding more than $6 billion through recruitment last year, mostly of breakaway advisers and banks, Steward Partners expects to double that growth in 2024.