Wasserman Wealth Management to Join Focus Partner Firm Buckingham Strategic Wealth, Expanding Buckingham's Presence in Michigan
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Insights
The acquisition of Wasserman Wealth Management by Buckingham Strategic Wealth represents a strategic consolidation within the wealth management sector. This move is likely to enhance Buckingham's market presence, particularly in the Detroit metropolitan area and expand their client base nationwide. The financial implications of such a merger include potential economies of scale, increased assets under management (AUM) and revenue growth from cross-selling opportunities.
From a financial perspective, evaluating the transaction's impact on Focus Financial Partners' performance metrics such as earnings per share (EPS), return on equity (ROE) and AUM growth rate is crucial. These metrics will provide insight into the transaction's value creation for shareholders. Additionally, the acquisition could lead to improved operational efficiencies and cost synergies, contributing to margin expansion.
It is important to monitor post-merger integration, as this will be a critical determinant of the long-term success of the transaction. The integration process can influence client retention rates and the realization of projected synergies. Investors should also consider the cultural fit between the firms, which can affect employee satisfaction and retention.
The wealth management industry is witnessing a trend of consolidation, driven by the need to leverage technology, broaden service offerings and achieve competitive differentiation. The merger between Buckingham and Wasserman is indicative of this trend. By joining forces, the firms aim to capitalize on shared investment philosophies and core values to enhance client services.
Market research indicates that fee-only wealth management services are increasingly preferred by clients seeking transparency and alignment of interests with their advisors. Buckingham's strength in this area could be a key factor in attracting and retaining clients post-acquisition. Additionally, the ability to offer a more comprehensive suite of services can be a differentiating factor in a crowded market.
It is also worth noting the potential impact on regional competition. The consolidation could alter the competitive landscape in the Detroit metropolitan area, potentially increasing market share and exerting pressure on smaller, independent firms. The broader geographic reach could also open up new markets for Buckingham, enhancing their national footprint.
The definitive agreement between Focus Financial Partners and Wasserman Wealth Management is subject to customary closing conditions, which likely include regulatory approvals and client consents. These legal formalities are essential to ensure compliance with financial regulations and to maintain the integrity of client relationships.
Legal due diligence is a critical component of M&A transactions in the financial services industry. It involves the scrutiny of contractual obligations, client agreements and regulatory compliance history. Any legal risks identified during due diligence could affect the terms of the deal or potentially lead to post-closing liabilities.
Furthermore, the wealth management industry is heavily regulated and the transaction will need to adhere to rules set by bodies such as the Securities and Exchange Commission (SEC). Ensuring regulatory compliance not only facilitates a smooth transaction but also safeguards the interests of all stakeholders involved.
NEW YORK, NY / ACCESSWIRE / January 19, 2024 / Focus Financial Partners ("Focus"), a leading partnership of independent, fiduciary wealth management firms, announced today that it has entered into a definitive agreement under which Wasserman Wealth Management, LLC ("Wasserman Wealth Management" or "Wasserman"), a registered investment adviser based in Farmington Hills, MI, will join Focus partner firm Buckingham Strategic Wealth, LLC ("Buckingham" or "Buckingham Strategic Wealth"). This transaction is expected to close in the first quarter of 2024, subject to customary closing conditions.
Since 2003, Wasserman has utilized Buckingham's affiliated comprehensive wealth management platform, providing resources, back-office management, thought leadership and a broad toolbox of personalized services, to help their clients achieve a greater sense of financial comfort and security. Managing Member Brad Wasserman, CPA, Member Keith Rybak, CPA and the rest of the Wasserman team currently provide investment management and financial planning advice to clients across the country.
"We pride ourselves on strong client relationships and we are especially honored that generations of families have entrusted us with their financial futures," shared Brad Wasserman. "We are always looking for new ways to serve our clients, and making the move to join Buckingham was the logical, natural step in the evolution of our firm. Because of our long-tenured partnership with their affiliated platform, we knew Buckingham shared our beliefs, investment strategies and core values. We are excited and confident this move will help us support our clients' financial growth and the development of our firm, now and for years to come."
"Welcoming a new team into the Buckingham family is always exciting, but it's even more special when long-time members of our Buckingham Strategic Partners community join the firm," said Adam Birenbaum, Chairman and CEO of Buckingham Strategic Wealth and Buckingham Strategic Partners, LLC. "We share such a deep history with Brad, Keith and the rest of their team, it is a natural fit and we look forward to supporting them as they serve clients in the Detroit metropolitan area and across the country."
"We are delighted that the Wasserman Wealth Management team is joining Buckingham," said Travis Danysh, Head of Mergers and Acquisitions for Focus. "We have seen Buckingham successfully attract like-minded teams to their organization for many years due to their strength in providing fee-only wealth management services. We believe they are well-positioned to have another strong year in M&A."
About Focus Financial Partners
Focus Financial Partners is a leading partnership of independent, fiduciary wealth management firms. Focus provides access to best practices, resources and continuity planning for its partner firms who serve individuals, families, employers and institutions with comprehensive wealth management services. Focus partner firms benefit from the synergies, scale, economics and best practices offered by Focus to achieve their business objectives. For more information about Focus, please visit www.focusfinancialpartners.com.
About Buckingham Strategic Wealth, LLC
Buckingham Strategic Wealth, LLC, helps individuals, families, businesses, trusts, nonprofits, retirement plans and medical practice owners achieve their most important life and financial goals by creating customized, comprehensive, evidence-based financial plans. Buckingham's investment philosophy is rooted in an academic approach tailored to address each client's willingness and ability to accept market risk. As a registered investment adviser, Buckingham has a fiduciary obligation to its clients. Buckingham's investment approach centers on modern portfolio theory implemented through passively managed mutual funds and the firm's fixed income portfolio design and execution capabilities. Headquartered in St. Louis, Buckingham has over 50 offices across the country. For more information, visit www.buckinghamstrategicwealth.com.
Media Contact
Travis Danysh
Managing Director, Head of Mergers and Acquisitions
Focus Financial Partners
P: +1-512-498-7083
SOURCE: Focus Financial Partners Inc.
View the original press release on accesswire.com
FAQ
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