Modern Wealth marks first anniversary with twin acquisitions

Modern Wealth marks first anniversary with twin acquisitions
The RIA aggregator caps off its first year of strategic growth by snapping up two East Coast firms worth more than $570M in assets combined.
MAY 21, 2024

Modern Wealth is celebrating its first anniversary with an additional $570 million in assets as it scoops up two firms in the east.

The national RIA and strategic aggregator announced that it has snapped up two firms in the eastern US, Wealth Management Solutions and Autumn Wind Asset Management, pushing the firm past the $3.7 billion AUM mark.

"Our collective growth and success over the past year has depended upon a careful evaluation of each new member to ensure they are the right fit and share our values as a firm," Jason Gordo, co-founder and president of Modern Wealth, said in a statement.

The Philadelphia-based Wealth Management Solutions, founded by Tanu Happonen in 2015, caters to over 350 clients, including individuals, families, and small businesses. With services across tax and estate planning, as well as investment managements with private market investment offerings, the firm brings over $400 million in assets under management to Modern Wealth.

"Modern Wealth emerged as a company with an entrepreneurial spirit and a shared dedication to client service," said Happonen.

Meanwhile, Autumn Wind Asset Management, based in Reston, Virginia, manages over $170 million in assets. Founded in 2000 by Neal Falkenberry, the wealth and multi-family office firm specializes in wealth preservation for large families with multigenerational assets.

"As the wealth management industry grows increasingly complex, joining Modern Wealth marks our next step in evolving beyond just an investment advisory firm,” Falkenberry said. “We’re looking forward to further enhancing our financial planning services.”

Both Happonen and Falkenberry are stepping in as managing directors at Modern Wealth.

Modern Wealth’s acquisitions in the East are its seventh and eighth transactions since its inception in April 2023. The firm made a splashy debut in the eastern US in March with a deal for Beltz Ianni & Associates, a Rochester, a New York-based practice managing north of $1.2 billion formerly with LPL.

More recently in April, the firm welcomed Jason Del Col, a former leader at Goldman Sachs, to head its growth initiatives as head of advisory services.

Backed by $200 million in equity financing from Crestview Partners, Modern Wealth is focused on acquiring high-quality registered investment advisory firms nationwide. Through its acquisition strategy, the firm has elevated its holistic planning capabilities with tax planning and preparation, corporate retirement planning, and other specialized services.

The firm aims to build an integrated and holistic wealth management platform, providing advisors with access to advanced client service resources, as well as experts in specialized planning and modern technology.

The need for better technology and financial planning capabilities has been a major driver of consolidation in the wealth space, according to Cerulli, as broker-dealers and other firms compete fiercely to grab more of clients’ wallet share.

Over the past year, Modern Wealth has grown to include 110 employees, and has introduced organic growth initiatives through its “Organic Growth Hub,” a resource to provide lead generation, distribution, compliance and other types of support to advisors.

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