The buying spree continues at Wealth Enhancement Group as the $9.7 billion Minneapolis-based hybrid firm agreed to acquire its ninth independent advisory firm in the past five years.
The most recent deal, announced Tuesday, involves GDM Advisory Group, a $470 million firm based in Fort Washington, Pa.
Wealth Enhancement Group chief executive officer Jeff Dekko said in a statement that the most recent deal is "consistent with our strategy of building both national scale and local scale in key markets."
Founded in 1993, GDM Advisory Group provides financial advice to approximately 250 individuals and families through a fee-based model.
GDM founder Glenn Meyer explained in a statement that part of the motivation for the sale was access to an expanded platform and the opportunity to "fast-track our growth."
This is Wealth Enhancement Group's second acquisition in the Philadelphia area in the past two months. The deal, which is expected to close in December, follows its September acquisition of Philadelphia-based OneSource Retirement Advisors, which manages $276 million. Wealth Enhancement is backed by Lightyear Capital, a private-equity firm.
Growth through acquisitions is a popular model in the wealth management space, but Mr. Dekko said his firm also generated $1 billion worth of organic growth last year.