Independent financial adviser Gale and Phillipson has bought Kent-based Gyr Financial Consulting as part of its expansion plan.
Gale and Phillipson announced yesterday (September 7) it had completed its acquisition of Gyr Financial in a move which brought £200m and five advisers to the company.
It is the adviser firm’s fourth acquisition of the past two years and brings its total assets under management to £1.2bn, managed by about 40 advisers.
Andrea Purdie, director of Gyr Financial, said she was “very happy” Gyr had become part of the Gale and Phillipson group.
She added: “It is a vibrant and growing company, with a clear focus on providing customers with a professional planning and investment service while reducing costs, which is good news for our clients.”
Robert Rackliffe, director of Gyr Financial Consulting, said: “We are delighted to become part of Gale and Phillipson as this move provides valuable long-term security for our clients, advisers and support staff.
“[We] wanted to find a firm that shared our high standards of advice and service for Gyr’s fantastic clients - many of whom have been with us for over 20 years.”
Mr Rackliffe said he recognised that now was the right time to become a part of a “larger, well-run professional financial planning and wealth management firm”, adding that after two years of working alongside Gale and Phillipson he knew it was “an excellent decision”.
Gale and Phillipson said it was aiming to increase its Aum to £2bn within the next five years and was currently in discussion with a number of advice businesses who were “considering their options”.
David Carr, chief executive of Gale and Phillipson, said: “We’re delighted to add Gyr to the Gale and Phillipson group.
“The impressive experience and skills of the Gyr directors and advisers are a great match for our unique service offering. Joining us will allow Gyr to focus on what they do so well – managing client relationships.”
Mr Carr added the acquisition had given the group “further combined strength and ability” to reach clients in London and the South East.
Mergers and acquisition activity in the adviser industry, and broader UK wealth management, has increased over the past few years, primarily driven by regulation, an ageing demographic and increasing professional indemnity insurance costs.
Last week it was revealed a new consolidator headed by ex-Openwork CEO Mary-Anne McIntrye had set its sights on building a 300 adviser-strong business over the next five years with a £160m acquisitions warchest.
Recent data shows funds spent on larger mergers and acquisitions in the IFA market jumped by more than 100 per cent last year to £249m, and the pattern of consolidation has shown no sign of abating.
What do you think about the issues raised by this story? Email us on firstname.lastname@example.org to let us know.