Brookstone Capital Management and FormulaFolios, two registered investment adviser firms, are combining to create a $6.5 billion RIA.
The combined company will retain the Brookstone name and will provide advisory services to its targeted niche of retirement advisors. The FormulaFolios brand will be retained for continued oversight of the asset management division.
“This is a unique opportunity for both firms and our affiliated advisors,” said Jason Wenk, co-founder of FormulaFolios and executive director. “Both companies have spent significant resources in building out the platform and programs they consider to be their competitive advantages. Now, we can leverage each other’s strengths to deliver a more robust experience to our advisor clients.”
Brookstone will maintain both companies’ headquarters in Chicago and Grand Rapids, Michigan. The more than 100 employees will work between these two offices and a satellite office in California.
The five key executives between both firms will be retained, serving in the following capacities: Dean Zayed as CEO, Darryl Ronconi as president and COO, Jason Wenk as executive director, Jason Crump as vice president of relationship management, and Joel VanWoerkom as vice president of operations.
In July of 2019, Brookstone partnered with AmeriLife Group, which is now backed by the private equity firm Thomas H. Lee Partners L.P. AmeriLife develops, markets and distributes life and health insurance, annuities and retirement planning services to pre-retirees and retirees. The combined organization created one of the largest independent marketing and RIA organizations in the U.S.
Founded in 2006, Brookstone Capital Management provides fee-based asset management services through its network of more than 400 financial advisors and firms. The company manages more than $2.95 billion, as of December 31, 2019.
Founded in 2011, FormulaFolios serves hundreds of financial advisors and thousands of clients nationwide and manages $3.64 billion in assets as of December 31, 2019. It has offices in Grand Rapids and Costa Mesa, California.