LPL Financial today announced it had entered into a definitive purchase agreement to acquire wealth management business Crown Capital Strategies.
The broker-dealer and registered investment advisor (RIA) is headquartered in Orange County, California, and houses 260 financial advisors who service clients with $6.5 billion in advisory and brokerage assets.
Established in 1999, Crown Capital offers services in investment management, estate planning, risk management, education planning, corporate benefits, full-service brokerage, and alternative investments.
“Since our inception, we have been focused on supporting our advisors so they have more time to develop customized and integrated investment and planning strategies and more time to spend with their clients, providing a best-in-class customer experience,” said Darol K. Paulsen, chief executive officer of Crown Capital, in a statement. “LPL shares that philosophy, which is why we’re confident LPL will preserve our advisor-first legacy.”
Crown Capital advisors will have access to LPL’s technology, advisory platform, and operational support while maintaining their independence and freedom to innovate, noted the two organizations in a statement.
“Crown Capital advisors share a common mission to help their clients build their financial legacies,” said Rich Steinmeier, LPL Financial managing director and divisional president, Business Development. “LPL’s industry-leading platform will enable them to streamline operations, enhance their service offering, and grow their client relationships. We are committed to supporting the Crown advisors so they can continue providing exceptional service to their clients and look forward to welcoming them to LPL.”
While the purchase agreement was signed on July 21, the transaction is expected to close in early 2024, subject to receipt of regulatory approval and other customary closing conditions.
San Diego-based broker-dealer giant LPL Financial currently boasts over 18,000 financial advisors and over $1 trillion in advisory and brokerage assets. The deal comes several years after the firm announced plans to acquire the wealth management division of Waddell & Reed Financial, which at the time held $63 billion in client assets.
Prior to that, LPL Financial acquired National Planning Holdings, Inc., an independent broker-dealer network with 3,200 advisors.
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Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.
