Sowell Management sells minority stake to Merchant
Updated
Updated · Wealth Management · May 4
Sowell Management sells minority stake to Merchant
2 articles · Updated · Wealth Management · May 4
The North Little Rock, Arkansas, registered investment advisor manages more than $6.5 billion and said the deal marks its first outside equity sale.
Merchant’s investment will back a new Advisor Partnership Program, giving new and existing advisors equity ownership and growth capital as wealth management consolidation intensifies.
Sowell, which has more than 50 advisor partner firms, recently launched a high-net-worth division and has expanded partnerships in investment research, outsourced CIO services and M&A support.
With private equity backing, can Sowell's 'advisors as partners' culture survive its ambitious national M&A strategy?
Is private equity's rush into wealth management creating stronger 'future-fit' firms or just the industry's next bubble?