Toronto-based RIA consolidator CI Financial has taken another big bite out of the U.S. wealth management market with the announced acquisition of the Roosevelt Investment Group, a New York institution with $2.7 billion under management.
The Roosevelt acquisition marks CI’s 12th registered investment adviser deal since it entered the U.S. market in February, and it gives the Canadian mega-buyer its first entry into the all-important New York market.
Including Roosevelt, CI now has four deals in the pre-close stage.
Following the close of all the pending transactions, CI’s North American wealth management business will have approximately $63 billion, including $16.3 billion through U.S.-based RIAs.
“We are excited to enter the New York market and thrilled to partner with Roosevelt, a firm whose deep roots in the region trace back to the family of President Theodore Roosevelt,” CI’s Chief Executive Kurt MacAlpine said in a statement.
“Roosevelt has an extensive legacy of serving some of the most prominent families and individuals in New York and beyond, and we’re excited to provide them with the resources need to continue to grow,” he added.
The Roosevelt acquisition is CI’s third deal in less than two weeks, a period in which it also filed to list the company on the New York Stock Exchange.
CI has been a public company listed on the Toronto Stock Exchange since 1995, but MacAlpine said the NYSE listing will provide the company with another means of paying for RIAs.
All of CI’s transactions to date have been cash deals, but MacAlpine said the pending transactions are likely to include a mix of cash and NYSE-listed stock.
The deal gives the hybrid RIA with $11.84 billion in assets its third Pennsylvania location as well as its twenty-ninth partnership since receiving a key minority investment.
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