Advocate for small broker-dealers sells her small broker-dealer

A prominent advocate for small broker-dealers, Lisa Roth, has sold her brokerage firm, Keystone Capital Corp., to Gregory Bentley and Blake Daniels, two principals who currently run Fortune Financial Services Inc., based in New Brighton, Penn. Terms of the sale, completed Nov. 2, were not disclosed. Ms. Roth said the sale of Keystone, which has six registered representatives, will allow her to focus on her compliance consulting and expert witness business, which she runs in conjunction with industry veteran Al Monahan, who was a co-owner in Keystone. David Martin, Ms. Roth's son, will continue as president of Keystone, which will retain its name and remain in San Diego. Mr. Bentley will be the chief executive, and Mr. Daniels the chief financial officer, the same roles they play in Fortune Financial. Mr. Bentley, who lives in Rancho Santa Margarita, Calif., said he was looking for a full-service independent broker-dealer to complement Fortune, which he describes as a “Series 6 firm” with nearly 200 representatives who sell mutual funds and annuities. Keystone was run by “well-respected industry executives,” he said, and provides a good platform to build from, including its own registered investment advisory unit. Keystone is about 30 years old, Mr. Bentley added, “but never had any growth initiatives.” He plans to grow by “just getting out and recruiting reps the old-fashioned way.” Mr. Bentley said Keystone will offer a simple compensation plan for brokers who don't want to pay for a lot of financial planning services that they don't use, and a broader product array than Fortune Financial. The two broker-dealers will be run independently.