Albany, New York-based independent broker-dealer Purshe Kaplan Sterling Investments was acquired by Wentworth Management Services LLC, a holding company that acts as a long-term owner and operating partner for broker-dealers and other firms in the independent wealth management channel. The terms of the transaction were not disclosed.
“There is a seminal change taking place right now in the wealth management industry as independent firms grow and gather assets to rival the wirehouses and large banks,” said Wentworth CEO Ryan Morfin.”At the same time, costs of technology, security and compliance are rising and the industry is consolidating rapidly.”
PKS’s core management team will remain in place, and the firm’s business model and operations will be unchanged by the transaction. The company currently has 485 branches and approximately 1,250 advisors.
According to Purshe Kaplan’s most recent financial report filed with the SEC, for the second quarter 2017, the company had total revenues of $61.6 million and posted net income of less than $200. Year-over-year, the company had $59.4 million in total revenues and $92,400 in net income.
Wentworth Management Services specializes in consolidating independent broker-dealers and focuses on established small- to middle-market independent broker-dealers seeking a strategic partner to provide support and scale for their businesses.