Kovitz Investment Group acquires Northern Capital Management

Kovitz, which pushes beyond $4 billion under managment with its second deal of the year, is part of the network of Focus Financial Partners

Nov 26, 2018 @ 12:35 pm

By Jeff Benjamin

Chicago-based registered investment adviser Kovitz Investment Group announced Monday it is acquiring Northern Capital Management, a Madison, Wisc. -based RIA with $544 million under management.

The deal, which will close early next year, marks the second acquisition of the year for Kovitz, which has grown to more than $4 billion since its founding in 2003.

In August, Kovitz announced its acquisition of AFAM Capital, which has approximately $1 billion under management.

eals represent sub-acquisitions for Focus Financial Partners (FOCS), which raised $565 million through an initial public stock sale in July.

During both of Focus' earnings calls since going public, chairman and chief executive officer Rudy Adolf said there are about 500 suitable RIA partner firms that could potentially join the 60 firms now making up Focus' partner network.

Regarding the latest Kovitz deal, Mr. Adolf said, "With our M&A expertise and value-added program, we expect continued excellence from the Kovitz team."

"As I recently mentioned, Focus is working on more opportunities than in any other time I can remember," he added. "We anticipate having a number of similar announcements in the weeks ahead."

Year to date, Focus has closed eight direct transactions and 16 mergers by partner firms.


What do you think?

View comments

Recommended for you

Featured video


Why advisers are pessimistic about the economy

Deputy editor Bob Hordt and senior research analyst Matt Sirinides discuss a recent InvestmentNews survey of advisers, most of whom see a recession ahead before the next presidential election.

Latest news & opinion

Anatomy of an annuity buyout offer

Readers are invited to comment on whether the columnist should keep or ditch her Ohio National VA contract

Factions emerge in OneFPA overhaul

Critics fear the FPA is trying to take money and power from local chapters, which officials and proponents call overblown.

6 tech companies heading for IPOs this year

These Silicon Valley technology companies could make an IPO splash in 2019.

Crackdown showdown: Serious cybersecurity enforcement is coming in 2019, but are advisers ready?

When clients ask what advisers are doing to protect their data, only the firms that can give a satisfying answer will build trust with investors.

Finra punishes former Schwab broker for lying about role in $800,000 phishing scam

Regulator said Deming Payne failed to verify with customer imposter's instructions to wire money, and then lied about it.


Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting investmentnews.com? It'll help us continue to serve you.

Yes, show me how to whitelist investmentnews.com

Ad blocker detected. Please whitelist us or give premium a try.


Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print