Minneapolis-based hybrid RIA Focus Financial Network is expanding into the East Coast with Virginia-based advisor Jennifer McDonald joining from Morgan Stanley.
The move is part of a national growth strategy for Focus Financial Network (FFN), which has three office locations in Minnesota and 113 financial advisors, according to a press release. McDonald had been registered with Morgan Stanley since 2020, according to her broker check profile.
Osaic serves as the broker-dealer partner for FFN, which oversees $9.5 billion in assets according to its press release. Focus Financial Network is not to be confused with the similarly named RIA aggregator Focus Financial Partners, as the two are entirely unrelated.
McDonald told InvestmentNews that about a third of her business is in managed advisory accounts, one-third in brokerage, and another third in annuities. She will custody assets with Pershing at Focus Financial Network, which was launched in 1993 by founders who left a large national broker-dealer, according to the firm’s website.
“I have full open architecture of continuing to not have to look at cookie cutter product lines or proprietary holdings, if you will,” McDonald said of her transition to FFN. “So having that full open architecture and being able to continue to deliver that to my clients is highly important.”
Focus Financial Network’s securities trading ties to Osaic come amid turnover at the independent broker-dealer. Several executives have recently departed Osaic, including chief financial officer Kristy Britt and wealth management EVP Greg Cornick.
“Being supported by Osaic as a large broker dealer gives access to all things—ETFs, funds, annuities, individual money managers, or if I want to do portfolio management on my own,” said McDonald. "In partnership with Osaic, I have quite a support system that would really allow me to leverage the resources of the larger companies that I wouldn't normally have as a standalone independent."
Focus Financial Network says it will open an office in Winchester, Virginia, where McDonald is based. McDonald described her client base as being mostly pre-retirees in ages from 50 to 70 years old, but also has some clients in their 20s. FFN's website says it has 41 branches across six states.
“As we continue expanding beyond the Midwest, we're focused on collaborating with experienced advisors who share our planning-first philosophy and long-term commitment to helping clients achieve their financial goals,” Focus Financial Network president John Bina said in a statement.
"I wanted to operate in a structure where fiduciary duty applies to every client interaction," said Brett Cohen, managing partner at Evolve Private Wealth.
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