Fincadia Group’s Five East-Coast Branches Join Arete Wealth from National Securities Corp.
Firms’ Focus on High Net Worth Accredited Investors Are in ‘Perfect Alignment,’ Arete Wealth Founder, CEO Joshua D. Rogers Says
Following 2021 Acquisition of Center Street Securities, Fincadia Group Lift-Out Marks Arete Wealth’s Second Significant Transaction in the Past 18 Months
CHICAGO, July 26, 2022 /PRNewswire/ — Arete Wealth, a full-service broker-dealer, registered investment advisor (RIA), and insurance firm, today announced its second major transaction in 18 months, recruiting a “super branch” of 66 registered representatives who manage more than $2.5 billion in total assets.
Fincadia Group, along with its five East Coast locations and team of support personnel, elected to leave National Securities Corp. after 18 years to become a fully integrated member of Arete Wealth’s brokerdealer and RIA businesses. Including Fincadia Group, Arete Wealth now totals $8.5 billion in assets managed by its 318 registered representatives across 97 offices in the United States.
The Fincadia Group lift-out follows Arete Wealth’s January 2021 strategic acquisition of Nashville, Tenn. based Center Street Securities which helped boost Arete Wealth’s 2021 revenue by 83% to $82.7 million from $45.2 million in 2020. Ninety-eight percent of Center Street’s registered representatives have been retained to date, according to Arete Wealth Founder and CEO Joshua D. Rogers.
Among the reasons Fincadia Group was attracted to Arete Wealth is the Chicago-based firm’s distinctive business strategy – chiefly, its leading position in alternative investments, Mr. Rogers said.
Arete Wealth added to its ample inventory of alternative products in November 2021 by reaching a unique two-year agreement with Masterworks to act as a co-managing broker-dealer, underwriter, and placement agent for all Masterworks’ art securities products offered for sale in primary offerings. The Fincadia Group team will have immediate access to all Masterworks products, and to Arete Wealth’s entire line of bespoke alternative products.
“When we realized there was an opportunity to recruit this large group of productive, highly respected financial advisors, we took immediate action,” said Mr. Rogers. “The addition of Fincadia Group, coming shortly after last year’s successful purchase of Center Street, demonstrates Arete Wealth is determined to continue expanding at an industry-leading pace.”
In May, Arete Wealth captured the No. 1 spot on Investment News‘ 2022 poll of the fastest growing independent broker-dealers – a gauge that measures the rate of year-to-year revenue gains.
Mr. Rogers added: “Fincadia Group’s focus on high net worth accredited investors is in perfect alignment with Arete Wealth’s business model. Further, the Fincadia team extends our reach into areas of the country with high concentrations of investors who are anxious to gain access to superior investment advice from Arete Wealth’s first-rate financial advisors and to our broad portfolio of traditional and alternative investment products. Adding Fincadia Group to the Arete Wealth family is a significant enhancement for all of our investors and advisors.”
Earlier this year, Arete Wealth was named one of Chicago’s fastest growing companies, according to Crain’s Chicago Business‘ 2022 “Fast 50” survey. The publication’s poll, which ranks Chicago-area companies by revenue growth over a five-year period, placed Arete Wealth in 31st position with 2021 revenue up 406% from 2016. Arete Wealth was third among the survey’s financial services companies.
Arete Wealth also scored well on Financial Advisor Magazine‘s 2022 survey of independent broker-dealers, ranking 35th, up eight slots from the previous year’s poll which grades companies’ growth by annual gross revenue. The firm impressed in another key FA Magazine survey category, placing seventh in “gross revenue per representative” ($486,622).
The Fincadia Group’s move to Arete Wealth became official on July 19, 2022. Financial terms for the liftout were not disclosed.
About Arete Wealth
Through its full-service broker-dealer, registered investment advisor, and insurance units, Arete Wealth Inc. has been offering comprehensive and sophisticated wealth management services for investors, clients, and partners since 2007. The Chicago-based firm offers high-net-worth investors access to a unique suite of alternative investments in addition to providing services that include investment banking, private equity programs, and other traditional financial planning.
Arete Wealth’s Art & Wine Advisory practice, an exclusive service for its financial advisors and their clients, is thought to be the only one of its kind in the U.S. offered by a financial services company.
Find out more at www.aretewealth.com.
Leanne Farley, VP of Marketing
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SOURCE Arete Wealth