National wealth management group Attivo has introduced a new option for adviser firms who want to continue servicing clients and building their assets but are seeking to exit the industry within two to five years.
Last month Attivo announced its plans to double current funds under management to £1bn by 2017 with at least six adviser firm acquisitions planned for the next 12 months.
As part of the group’s overall growth strategy it is now introducing a new ‘two step exit strategy’ for firms that are currently directly authorised but plan on leaving the industry in the near future.
The firm will first join Attivo as an appointed representative. Attivo will help them develop and enhance the business, and when they are ready to leave the industry, Attivo will buy the business from them.
Stephen Harper, chief executive of Attivo Group, said: “We see many good adviser firms, some of them just one man bands and others a bit larger, where the majority of their client money is not currently held on platforms or given access to DFM expertise. Often the client bank is very loyal and the advisers keen to continue servicing but in need of greater resource and knowledge to do this cost-efficiently.
“We can offer firms like this a solid support structure with our own investment platform, DFM, Sipp and Ssas offering as well as regulatory support and the other normal services most networks provide.
“The big difference for us is that we positively want to support the growth of their businesses so that in the next few years we can work with them to acquire the business outright and ensure they get maximum value from it.”
He added that Attivo regularly meets with advisers firms who are looking for help and are telling Attivo they “have been turned away by some of the well-known industry names” due to their size.
Mr Harper said: “Our experience has shown that we can add significant value to firms that are large and small but often size is only a reflection of lack of experience and resource.
“Whilst we have no plans to become a network we firmly believe that by offering a small number of high quality firms the opportunity to work within a robust support infrastructure – and to help extend potential valuations - will be an attractive option to those seeking a simple and profitable two to five year exit strategy.”