Former LPL exec Bruton lands

Ex-managing director of LPL Financial is named CEO of Lucia Capital Group, a firm that includes an RIA and broker-dealer and has $2.3 billion of client assets.
SEP 25, 2014
Derek Bruton, the managing director of Independent Advisor Services with LPL Financial until four months ago, has been named chief executive of the Lucia Capital Group, a small group of investment companies that includes a registered investment adviser and a broker-dealer. Lucia Capital has $2.3 billion of client assets in various line of business, from advice to insurance, 70 employees and 16 branch offices for advisers working for the RIA. Those advisers are employees and not independent contractors, like the registered reps and advisers affiliated with LPL Financial. Mr. Bruton until April was a managing director at LPL Financial. He was permitted to resign from LPL after the company said it had concerns about his interactions with employees.The company declined to elaborate further. “I've been looking for my next opportunity but also taking some time to recharge the batteries and spend time with family,” said Mr. Bruton in an interview. While he has spent the bulk of his career at large firms with a national footprint such as LPL and Merrill Lynch, Mr. Bruton stressed that he started his career in wealth management while working with Charles Schwab & Co. Inc. from 1996 to 2001. “My goal is to leverage my experience and skills with successful advisers,” he said. “Lucia Capital is a good cultural fit. They are passionate about growing the business and also having fun.” (Related: LPL Financial names William Morrissey to replace Derek Bruton) Ray Lucia Jr. is chairman of Lucia Capital Group and is the son of former star adviser Ray Lucia Sr., who had his RIA license revoked last year by the Securities and Exchange Commission, which also banned him from associating with an investment adviser. “We have the utmost respect for Ray Lucia Sr. and all of his career accomplishments, but we emphasize that his regulatory compliance issues are not connected with our firm,” Ray Lucia Jr. said. “There is an obvious family relationship between the individuals of these two businesses, but Lucia Capital has always been a separate and distinct entity from Ray Lucia Sr.'s practice.”

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