Sanctuary Wealth has acquired Oregon-based tru Independence in a move to transform its registered investment adviser (RIA) channel and fully supported independence model.
Established in 2014, tru Independence is a service delivery firm that benefits advisers through the combination of behavioural finance, fintech, and human capital. The Portland-based firm is said to support 30 RIA firms handling $12.5bn in client assets.
tru Independence founder Craig Stuvland said: “Separately, both firms have successfully attracted top-tier advisors and practices, albeit using slightly different approaches.
“Together, we are confident top-quintile advisors across the wealth management space will quickly appreciate everything our expanded enterprise represents and will be eager to take advantage of affiliation options that best suit their practices, staff and clients.”
Through the combination of both parties, Sanctuary Wealth aims to redefine independence in the wealth management industry.
The combined entity will provide a wide range of independent business model affiliation options and capabilities across the industry landscape by creating an unparalleled platform for highly sophisticated financial advisers.
Besides, the merged enterprise will support around 120 independent wealth management firms managing over $42bn of client assets across 30 states.
Sanctuary Wealth CEO Adam Malamed said: “With a well-earned reputation for authenticity and transparency, tru’s core values align with Sanctuary’s.
“Together, the firms have an unprecedented opportunity to collectively redefine what it means to be a full-service, multi-channel independent wealth management enterprise that specialises in supporting only the most successful financial advisors with sophisticated businesses and accomplished clients.”
Following the completion of the transaction, the firms will operate as distinct entities, maintaining their existing brands and leadership teams.
KPMG served as Sanctuary Wealth’s due diligence adviser while Akin Gump Strauss Hauer & Feld was legal adviser.
ECHELON Partners and Winthrop & Weinstine acted as the exclusive sell-side financial adviser and the legal counsel to tru Independence, respectively.