Financial Services & Technology
Q4 2024 WEALTH MANAGEMENT M&A QUARTERLY REPORT
Wealth Management M&A Summary
M&A activity finished 2024 with stable, to slightly better than expected trends:
The AUM Sweet Spot Powering Wealth Management M&A
In the second half of 2024, the median AUM deal size held steady at $530 million
Median AUM is up 24% from 2023, driven, not too surprisingly, by asset appreciation and organic growth
The sweet spot range for M&A in 2024 was between $100 million to $750 million, representing 58% of all deals in 2024
Private Equity’s Deepening Role in RIA Consolidation
Private Equity continues to be the driving force in RIA consolidation
Intensifying competition is compelling the independent RIAs to turn to PEbacked strategic acquirers for the benefits of scale, capital and operational and managerial resources
RIAs have a range of acquirers to choose from and may not need to compromise on valuation to maintain autonomy and access resources
Targeting High- and Ultra-High-Net-Worth Clients
The growth of high-net-worth (“HNW”) and ultra-high-net-worth (“UHNW”) segments represents a significant opportunity
Cerulli Associates estimates that nearly two-thirds of US asset growth since 2011 has come from the HNW and UHNW segments
While wirehouses and private banks have traditionally dominated the HNW and UHNW segments, independent firms are gaining ground
Addressing Holistic Wealth Needs Beyond Investments
Wealth managers are integrating Estate, Trust, and Tax solutions into their core offering
Affluent families need structured estate plans, sophisticated tax strategies, and trust solutions to preserve and transfer assets efficiently
By bundling these services, firms hope to create a seamless, one-stop solution, helping them differentiate and attract a broader client base
Wealth Management Deal Activity
Deal Volume & Median AUM by Quarter
Two Key Observations
1. Deal Pace Remains Steady
The Wealth Management M&A market remained steady in 2024, with 238 deals, up 3% from 2023, including a surge of 79 transactions in Q4
The M&A action is with firms of $100 million - $750 million AUM, accounting for 58% (138) of 2024 deals
Median firm size grew 24% YoY, from $425 million in Q4 2023 to $529 million in Q4 2024
2. Private Equity Backed Acquirers Continue to Dominate
Private equity-backed acquirers, accounted for 80% of acquisitions in 2024, and continue to play a pivotal role in the market, reinforcing the criticality of scale
Wealth Management Acquirers
10 Buyers in 2024 Accounted for 1/3 of Deal Volume
Q4 2024 Wealth Management M&A Transactions
Q4 2024 Wealth Management M&A Transactions
Q4 2024 Wealth Management M&A Transactions
Q4 2024 Wealth Management M&A Transactions
Q4 2024 Wealth Management M&A Transactions
2024 Deal Volume by Firm AUM Size
2024 QoQ Percentage of Acquisitions by Buyer Category
Wealth Management Transaction Spotlight1
Focus on Culture & Growth
AUM: ~$1.2 billion
Location: Ashburn, VA
No. of Advisors: 6
Deal Date: 10/07/2024
“We were drawn to the Halpern team because of their passion for not only managing their clients’ money, but also providing them with the financial education they need to thrive for the long term. Ted and his team have longstanding success in valuing, uplifting, and serving their clients, and we look forward to partnering with them to continue that work.”
Rick Buoncore, MAI Executive Chairman
Halpern Financial’s decision to join MAI Capital was driven by a strong alignment in culture, leadership, and long-term growth strategy as finding a like-minded partner was essential to advancing the firm’s next phase while maintaining its client-first philosophy
This move reinforces the importance of shared values and vision in transactions, as firms seek not only financial scale but also operational synergy and cultural fit
PE-backing Fueled M&A
MAI's robust acquisition strategy, including this deal, is indicative of private equity-backed firms actively driving growth in the wealth management space
The firm’s ability to acquire 10 companies in 2024 alone underscores the impact of private equity support in facilitating rapid expansion, both geographically and in terms of client assets
Emphasis on High Net Worth (HNW) Clients
MAI’s strategic acquisition of Halpern, a fee-only fiduciary focused on high-net-worth (HNW) individuals, underscores an increasing industry focus on catering to the needs of affluent clients
The combined firm will enhance its capacity to offer specialized wealth management services and financial education to HNW families across various regions, leveraging both MAI’s and Halpern’s expertise
Buyers’ Focus on Scale and Profitability
Halpern’s established client base and AUM add significant value to MAI, particularly as it enhances MAI’s geographic presence in Virginia, Maryland, and Florida
The deal illustrates a trend where buyers prioritize acquisitions that not only provide scale but also contribute to long-term financial growth through expanded client portfolios and market reach
acquired by
What’s Ahead For Wealth Management in 2025
HNW Practices: Planning Services Offerings, 2017 vs. 2023
Benefits of Estate, Trust, and Tax Planning
Strengthened Client Relationships & Retention
Offering estate planning, trust administration, and tax planning services allows firms to become comprehensive financial partners for HNW and UHNW clients
This holistic approach fosters deeper relationships, increasing client loyalty and multigenerational wealth transfer engagement
Enhanced
Competitive
Positioning
As estate and tax planning become essential rather than optional, firms that integrate these services in-house can stay ahead of industry trends and differentiate themselves in an increasingly competitive marketplace
Expanding services beyond investment management positions firms to better serve highnet-worth (HNW) clients, a key source of asset growth
Financial Services & Technology Expertise
About Harbor View Advisors
Operating at the intersection of investment banking and management consulting, we partner with inspiring companies and private equity firms to help them design and execute their strategies for growth or exit. With decades of successful client outcomes, we help growing teams improve their opportunities for success. We provide Sell-side advisory, Buy-side advisory and Strategic Consulting to innovative companies and financial sponsors.
The material in this report is for information purposes only and is not intended to be relied upon as financial, accounting, tax, legal or other professional advice. This report does not constitute and should not be construed as soliciting or offering any investment or other transaction, identifying securities for you to purchase or offer to purchase, or recommending the acquisition or disposition of any investment. Harbor View Advisors does not guarantee the accuracy or reliability of any data provided from third party resources. Although we endeavor to provide accurate information from third party sources, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future.