Dynasty Financial, in first-ever acquisition, picks up TruClarity's breakaway business

Dynasty Financial, in first-ever acquisition, picks up TruClarity's breakaway business
Dynasty currently has 35 job openings, and CEO Shirl Penney said TruClarity's people, including CEO Pamela Stross, were a big part of its appeal.
FEB 16, 2023

Dynasty Financial Partners is stepping up its breakaway transition game with the acquisition of TruClarity Management Solutions, a platform designed for wirehouse brokers making the transition to independence.

TruClarity’s transition business is being separated from its existing registered investment advisor, which is being sold to One Seven, according to CityWire. Even though Dynasty’s back- and middle-office platform has more than $72 billion from 49 registered investment advisors, it doesn’t operate as a corporate RIA, which is why the RIA was separated.

According to the announcement Thursday, TruClarity has “guided dozens of financial advisors to successful breakaway outcomes” since it was founded in 2015.

Dynasty Chief Executive Shirl Penney said he is acquiring TruClarity for the technology, business in the pipeline and the people, including president and CEO Pamela Stross, who will join Dynasty as a consultant.

“Pam is one of the most seasoned and experienced executives in the whole RIA ecosystem,” Penney said. “She is coming on as a senior consultant who will focus on sales, relationship management and working with our Advisor-to-CEO program.”

In addition to Stross, Penney said the acquisition, which is Dynasty’s first since the business launched 12 years ago, will help fill some of the company’s 35 current job openings.

“I’m really excited about their people,” he said. “We’re trying to find talent in everything; we’re hiring across the board.”

St. Petersburg, Florida-based Dynasty has entered into an exclusive, nonbinding letter of intent to acquire TruClarity, which is also based in St. Petersburg.

Penney said the deal should close within 30 days.

Penny Phillips, president and co-founder of Journey Strategic Wealth, described the TruClarity deal as an example of how the RIA is “structurally, ever-evolving, and this isn’t the last time you’ll hear about firms changing, merging, selling, restructuring, for a multitude of reasons.”

“At the end of the day, individual advisors need to be wholly focused on building the deepest rapport possible with clients and continuing to double down on the value they provide every day,” Phillips added.

Chuck Failla, founder and chief executive of Sovereign Financial Group, said technology and platform providers are growing to keep pace with the rapid growth of the overall RIA space.

“This means more and better choices for how advisors can serve their clients,” he said. “If we look back even just five or 10 years, advisors were able to choose from about a handful of wirehouses and perhaps a dozen solid choices in the independent broker-dealer space. Today, advisors can choose from hundreds of RIA firms that all offer solid, yet different models to service clients. Fortunately, there are more and more resources coming online to help advisors do just that.”

What's behind a huge trend in fixed income

Latest News

Farther debuts AI investment proposal tool for advisors to win clients
Farther debuts AI investment proposal tool for advisors to win clients

"Im glad to see that from a regulatory perspective, we're going to get the ability to show we're responsible [...] we'll have a little bit more freedom to innovate," Farther co-founder Brad Genser told InvestmentNews.

Barred ex-Merrill Lynch advisor arrested in alleged $2.6M theft of former Miami Dolphin Pro Bowler
Barred ex-Merrill Lynch advisor arrested in alleged $2.6M theft of former Miami Dolphin Pro Bowler

Former advisor Isaiah Williams allegedly used the stolen funds from ex-Dolphins defensive safety Reshad Jones for numerous personal expenses, according to police and court records.

Are you optimally efficient?
Are you optimally efficient?

Taking a systematic approach to three key practice areas can help advisors gain confidence, get back time, and increase their opportunities.

Advisor moves: Father-son duo leaves Raymond James for LPL, RayJay adds Merrill Lynch alum in Florida
Advisor moves: Father-son duo leaves Raymond James for LPL, RayJay adds Merrill Lynch alum in Florida

Meanwhile, Osaic lures a high-net-worth advisor from Commonwealth in the Pacific Northwest.

Beacon Pointe adds six RIAs in two-month acquisition spree, boosting AUM by $2.7B
Beacon Pointe adds six RIAs in two-month acquisition spree, boosting AUM by $2.7B

The deals, which include its first stake in Ohio, push the national women-led firm up to $47 billion in assets.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.