The eight wealth management firms in Advisor Group's network are becoming one over the next two years.
American Portfolios, FSC Securities, Infinex Investments, Royal Alliance Associates, SagePoint Financial, Securities America, Triad Advisors and Woodbury Financial Services are merging together under a new brand name set to be revealed later this year, Phoenix-based
"Combining our multiple firms under a single brand will allow us to better serve our financial professionals by offering them access to the full breadth of community and expertise our scale provides without the complexities that multiple legal entities can impose," CEO Jamie Price said in a statement. "Our current business model has been successful to date, but as the industry landscape continues to evolve, simultaneously maintaining a series of divergent brands no longer supports a best-in-class experience for our financial professionals or their clients."
Clients with accounts held directly by the firms' platforms will be able to transfer their assets to the new entity without signing any documents, according to the firm. Those with third-party money managers will have to follow transfer procedures, although the firm has pledged to work with those outside companies to ensure a smooth migration.
"For financial professionals in the Advisor Group network, this is going to significantly elevate our experience with the firm," Debra Brennan-Tagg, the president of Dallas-based BFS Advisory Group and the chair of Advisor Group's national advisory board, said in a statement. "Having the firm singularly focused on our growth and our experience will allow us to partner more easily with them to realize and leverage all of the benefits Advisor Group has the potential to provide."
The firm has tapped New York-based branding agency Sullivan NYC to advise on the rebranding of the merged entity, and it plans to release more details about the consolidation next month at its NXT Conference in Louisville, Kentucky. The brokerage firms will fold into the new entity one at a time, with the first wave scheduled in a year and a half.
"This is not a repapering event," Price said. "Because the firms are already part of Advisor Group, we can significantly simplify the financial professional and client transitions by eliminating the complexities that occur in a normal transition. Moving into one firm is about making it easier for our financial professionals to conduct business and giving them more value through their connection to each other and to our home office. Our goal is to facilitate the most seamless transition possible that will ultimately benefit their businesses."
