Home Wealth Management MAI Acquires Launches Retirement Unit With West Level Deal

MAI Acquires Launches Retirement Unit With West Level Deal

MAI Acquires Launches Retirement Unit With West Level Deal


MAI Capital Administration, a quickly rising integrator of registered funding advisors specializing in monetary planning for top web value people, stated on Tuesday it was buying the West Level Enterprise Group in Ponte Vedra Seashore, Fla.

The brand new agency provides a specialised retirement plan consulting enterprise to the MAI platform and can, executives say, assist kickstart the launch of MAI Retirement, the agency’s new division devoted to retirement plans.

“It was an enormous initiative for us this 12 months to seek out an important platform that we may assist to broaden and likewise give a functionality to our purchasers that we in any other case weren’t actually capable of absolutely provide,” stated MAI CEO Rick Buoncore. “So now we have now an important platform with two gents that had been serving our nation within the Military.”

The transaction, which added round $230 million in AUM and $568 in retirement plan belongings underneath advisement to the MAI platform, closed on Sept. 30. Phrases had been undisclosed however Buoncore stated fairness performs an enormous function in MAI acquisitions, usually representing as a lot as 50% of the general deal.

Based by alums of the eponymous navy academy in upstate New York, West Level offers fiduciary-based retirement plan consulting and monetary wellness packages for companies, in addition to wealth administration providers for people and households. The Florida agency will set up MAI’s outlined contribution and profit plan enterprise to present 401(ok) providers to a community of companions and associates, in line with the agency.

West Level companions C. Clayton Perry and Keola J. Elobt will each turn into managing administrators and group heads of MAI Retirement and shall be joined by 4 different workforce members. MAI has appointed Jason Hamilton to direct the brand new division.

Moreover, MAI’s executives on Wednesday stated they recruited J.D. Loden, a monetary advisor and principal of J.D. Loden Wealth Administration, to its Naples, Fla. workplace. Loden focuses on excessive web value purchasers and brings $140 million in AUM to MAI. He will take the title of Senior Wealth Advisor and Managing Director.

Primarily based in Cleveland, MAI has been actively pursuing strategic development—natural and inorganic—because it was acquired by Galway Holdings final summer time. The acquisition gave the agency entry to personal fairness capital and Galway subsidiary Epic Brokers & Consultants, which MAI is utilizing to amass purchasers and supply extra providers to them.

“Epic has an amazing worker profit enterprise and a necessity for a 401(ok) answer as a result of a number of their purchasers have been asking for it. One of many causes that it turned such an essential precedence for us is as a result of it suits with one among our sister corporations and can assist us develop,” stated Buoncore, including that the complementary enterprise mannequin additionally offers a pleasant acquisition pipeline for its wealth administration arm as people exiting retirement plans could have an present relationship with MAI when in want of recommendation.

With rather less than $15 billion in belongings underneath administration presently, MAI has plans to develop to $50 billion over the subsequent 3 to 4 years, stated Buoncore. Along with a legacy sports activities division, the wealth administration division, an insurance coverage arm, a household workplace and, now, a retirement unit, the agency is including belief capabilities subsequent.

The belief piece is taking longer as a result of it has been troublesome to seek out an present belief firm keen to be an unique accomplice, however there are “a pair that we’re ,” stated Buoncore, who hopes to announce one thing within the subsequent few months.

“I hope so. That’s the one piece that I feel continues to be lacking,” he stated. “We at all times have the choice to construct it organically however would definitely favor to have one thing that could be a preexisting platform.”

As MAI continues to construct out new and present companies anticipated to cross-pollinate natural development, the agency can also be pursuing development alternatives with an eye fixed to co-locating in areas the place Epic has present retail places of work, and leveraging their specialties and consumer rosters.

The agency presently has round 13 corporations in its M&A pipeline, in line with Buoncore, and is seeking to purchase round 25 million in EBITDA yearly in areas the place Epic has a big presence, together with California, Texas, Indiana and New Jersey.

“The hot button is discovering the precise folks with the precise construction,” he stated. “You don’t need to discover any person so huge that, regardless that you understand you’re going to develop, it’s not going to be significant. And also you don’t need any person so small that the expansion will overwhelm them.”

West Level is MAI’s tenth acquisition for the reason that Galway acquisition, and its fifth this 12 months. The agency presently has 13 places in seven U.S. states and round $14.7 billion in belongings underneath administration.




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