Ladenberg Thalmann Financial Services’ subsidiary, Securities America (SAI), announced today that it has acquired Dalton Strategic Investment Services, Inc (Dalton). The Kingstown, Indiana company has 60 advisors in 18 states and manages $950 million in client assets.
“This business has become increasingly challenging for smaller broker-dealers,” commented Jim Nagengast, Securities America chief executive officer and president. “We welcome the advisors from Dalton Strategic Investment Services and look forward to helping them grow through our expertise in advisory business, retirement income planning, practice management and technology,” he added.
This isn’t the first time Securities America has partnered with small broker-dealers. In the last several years SAI has helped a number of broker-dealers like Dalton become super branches with the company.
Just last year, 30 advisors from Eagle One Investments in Washington, Iowa joined SAI as the BD wound down operations.
Other notable acquisitions include:
- 140 advisors from Investors Security Company Inc. – 2012
- 45 advisors from Equitas – 2010
- 40 advisors from ePlanning – 2010
- 260 advisors / Brecek & Young from Security Benefit Corp. – 2009
Securities America now has more than 1,800 independent advisors who are responsible for $54 billion in client assets.
Founder of Dalton Strategic Investment Services, Steve Dalton explained that his 25 year old company is winding down operations as most of its advisors, who together generate approximately $7 million in annual revenue, have moved to Securities America.
“We evaluated 10 other broker-dealers before choosing Securities America as the right partner for our future success,” Mr. Dalton commented. He continued, “The cultural fit, technology and practice management support Securities America provides will help us grow our business and develop our advisors, and serve as a strong value proposition for recruiting additional advisors.”
Mr. Nagengast stated, “Through our extensive experience in collaborating with small firms, Securities America has developed meticulous processes and automation specifically for creating a smooth transition experience for the advisors.”
He added that Securities America is looking for additional opportunities in the small broker-dealer space and went on to explain, “These firms most often cite compliance costs, technology costs and business development as their reasons to consider joining a larger broker-dealer. Securities America excels in all of these areas, with a customer-focused culture that advisors find familiar and comfortable.”