April 29, 2024
In an exclusive interview with CityWire, a leading wealth management-focused publication, Rosemont discussed the sale of its stake in Wilbanks Smith & Thomas Asset Management (“WST”) through WST’s merger with former Rosemont partner Clearstead Advisors (“Clearstead”). This acquisition, completed without the traditional auction or banking intermediaries, marks a significant milestone in the evolution of both firms and illustrates Rosemont’s industry insight and collaborative nature.
Brad Mook, managing director at Rosemont, elaborated on Rosemont’s role in facilitating the deal, emphasizing the firm’s ability to balance the interests of multiple parties while securing a successful outcome for its investors. “I think it really did help that we weren’t really representing anybody. We could see both sides, as well as our own, and kind of work to keep everybody at the table focused on the bigger picture,” Mook told CityWire.
This acquisition enhances Clearstead’s geographic presence in the Mid-Atlantic and fortifies its capabilities by incorporating WST’s renowned advisor solutions platform. Such strategic expansions underscore Rosemont’s commitment to fostering high-caliber partnerships that promise enduring value and growth.
The article highlights an emerging trend in wealth management M&A, specifically a shift from raw, scale-oriented acquisitions to strategic, relationship-focused combinations. This may be a result of rising dissatisfaction among acquired firms, with nearly half reporting post-merger regret primarily due to personal conflicts. “We have a good sense of the market and the trade-offs being made among price, buyer fit, etc., and we are always happy to help facilitate a win-win,” Mook noted in the interview.
This union of two successful Rosemont partners—both thoughtful, relationship-oriented firms in the wealth management sector–is poised to deliver enduring benefits and mutual growth for all involved parties. It also represents a step closer to the end of Rosemont’s current fund cycle, further shifting its focus to growing its portfolio of permanent capital investments.
Click here to read the entire article in CityWire.
June 27, 2023
CityWire, a premier wealth management-focused publication, announced Rosemont’s strategic partnership with Landmark Management. Rosemont’s 40% stake in Landmark supports long-term succession planning and ensures the continued independence and growth potential of the firm. It emphasizes the value of our partnership in guiding Landmark and its esteemed clients through generational transitions, solidifying their position as a trusted advisor to ultra-high net worth families.
“What we do as minority investors is we come in and we’ll give you a more commercial price for a piece of the equity,” Brad Mook, managing director at Rosemont, explains to the publication. “You continue to transition internally at a bit more of an internal multiple, and we can be a supportive outside partner, but we’re not looking to run the business.”
Throughout the article, Citywire reaffirms the importance of our partnership with an exceptional, employee-owned advisory firm. It underscores our expertise and experience in providing capital and employee-driven ownership solutions to foster long-term success.
Click here to read the entire Citywire article.
April 10, 2023
Rosemont CEO Chas Burkhart will be leading a panel discussion as part of an event hosted by the Association of Investment Management Sales Executives (AIMSE) on April 12 in New York City. Burkhart will lead the panelists through a discussion titled, “Key Issues Impacting Asset Management Businesses and Their Sales & Marketing Professionals.” During the conversation, Burkhart and the panelists will discuss:
- Challenges facing and observations on the future of “traditional” ( long only equity and fixed income) and “alternative” (private equity, private credit, hedge funds and real assets) investment management businesses
- The impact of M&A on our industry and a SWOT discussion of longer-term M&A effects amid the record-breaking deal activity of the last few years
- Factors driving successful or failing sales and marketing efforts
Included on the panel are:
- Yvonne Woo, Managing Director of Alternative Investments & Manager Selection at Goldman Sachs Asset Management
- David Scopelliti, Global Head of Private Debt at Mercer
- Ben Blaisdell, Managing Director, Solutions Oversight & Data Analytics at Bank of America
- Chris O’Grady, Chief Investment Officer at Dakota
To learn more about AIMSE and other upcoming events, visit the AIMSE website here.
July 21, 2022
Citywire recently sat down with Chas Burkhart, CEO of Rosemont, to get his take on the state of RIA valuations amid the sharp decline in equity markets this year.
The RIA industry has seen unprecedented M&A activity over the past few years. Recent PE investors’ valuations of 15x or 20x run-rate EBITDA are based on assumptions that will be significantly strained in the early years of these transactions, Burkhart told Citywire.
Burkhart explained that private equity investors model their targets’ future growth and returns on a host of financial assumptions, namely revenue growth. But much of that growth has been driven over the last 10 plus years by constantly rising markets. Burkhart said there has been “little in the way of truly organic growth.”
The surge in valuations “is setting a very dangerous precedent that has great risk of being unwound,” Burkhart said.
Click here to read the entire article in Citywire
February 24, 2022
RIA Intel recently sat down with Brad Mook, Managing Director at Rosemont, to discuss its purchase of a minority stake in Veris Wealth Partners, a San Francisco-based firm with $2 billion in assets that builds ESG portfolios for high-net-worth and ultra-wealthy families.
The publication reported that Rosemont helped founders get liquidity and democratize the Veris ownership. Now, no single employee owns more than 20 percent of the company, making succession more affordable for others in the future, Stephanie Rupp, CEO at Veris Wealth Partners, told RIA Intel. “I think this is a very smart, astute model,” Rupp said of Rosemont. “They come in and fill that gap.”
“It’s a very different model than the private equity fund model,” Mook told RIA Intel, referencing Rosemont’s newer permanent capital approach. He also noted the company’s investment philosophy hasn’t changed. “Our philosophy has always been that employee-owned and controlled investment firms are the ideal model.”
Mook added that Rosemont has always admired firms like Veris and believes the investment happened at an inflection point for the firm.
Click here to read the entire article in RIA Intel
February 24, 2022
Following an announcement from Rosemont, PE Hub reported that the firm had purchased a minority stake in Veris Wealth Partners, a woman-led impact Wealth Management firm with $2 billion in assets.
The publication reported that, “The recapitalization is designed to support the company’s internal equity transition to next-generation leaders and to ensure its independence for many years to come.”
The publication also provided insight on the partnership from Rosemont Managing Director Brad Mook.
“We are extremely pleased to partner with Veris,” Mook said. “Veris has a long legacy as a leader in impact investing since 2007 and is distinguished by its authenticity and strong partnership culture. It’s a compelling choice for wealth owners looking for high-caliber investment management and private wealth planning and the ability to use their resources for positive change. We look forward to working with the Veris team long into the future.”
This is the second permanent capital investment by Rosemont, following 27 private equity investments over the past 21 years.
Click here to read the entire announcement in PE Hub.
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