Osaic recapitalizes business with $2 billion funding round
Updated
Updated · Barron's · May 1
Osaic recapitalizes business with $2 billion funding round
7 articles · Updated · Barron's · May 1
Scottsdale-based Osaic said Ares Secondaries funds and Lexington Partners led the deal, joined by Bain Capital, while majority owner Reverence Capital Partners orchestrated it.
Reverence, Osaic's majority owner since 2019, said the capital will provide liquidity to its fund investors and support acquisitions and other strategic initiatives.
Osaic, known as an independent broker-dealer, is also expanding its employee advisor channel, recently moving a $1.5 billion team and a separate $500 million practice into its W-2 model.
Will Osaic’s $2B recapitalization and W-2 advisor model overhaul truly enhance advisor independence and client service, or introduce new operational risks?
With AI and regulatory changes accelerating, can Osaic maintain its growth while ensuring compliance and personalized service at massive scale?
How might private equity’s deepening role and rapid consolidation in wealth management reshape the future for mid-sized advisory firms and their clients?