Fairstone Group  

Fairstone acquires Glasgow-based Chartermarque

Fairstone acquires Glasgow-based Chartermarque

Wealth manager Fairstone has acquired Glasgow-based Chartermarque in its first deal of 2021.

The acquisition will secure a gross fee income of £1m for Fairstone, together with funds under management of £200m.

Fairstone’s downstream buy-out acquisition model, which sees it take a stake in advice firms before integrating them and then typically purchasing them over a two-year period, has led to several acquisitions in 2020.

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By early December last year, the firm had agreed its ninth deal, incorporating Devon-based Sabre Financial via its acquisition model.

At that time, the wealth manager had added more than £1.3bn to its funds under management.

In mid-December 2020, Fairstone acquired South Wales-based financial planning firm UskVale Financial Planning in a deal which secured the national wealth manager a further 700 active clients.

Lee Hartley, chief executive officer of Fairstone, said: “Within Fairstone, we work hard to ensure our proposition gives firms the framework they need to significantly grow their businesses, without compromising on client service or independence. 

“Finalising this deal with Chartermarque signifies a valued addition to our group.”

Whole-of-market firm Chartermarque specialises in advice and management of investment and retirement portfolios.

Chartermarque principal Scott Morton said one of the main reasons for choosing Fairstone was the commitment to support continued growth alongside its strong financial position.

He said: “Continuing to meet our clients’ needs in a rapidly changing environment has been at the forefront of our decision to become part of Fairstone.

“The desire to continue to provide independent advice was particularly important and Fairstone’s financial strength allows further investment in people and infrastructure – all for the ultimate benefit of our valued clients."

According to Fairstone, it targets robust and well-managed firms that want to grow and develop.

The majority of companies that reach ultimate acquisition stage show continued organic growth and achieve sales values that are higher than originally expected.

The wealth manager, headquartered in Newcastle, has 42 locations across the UK and oversees £10.6bn funds under management for over 34,000 wealth clients.

Ruth Gillbe is a freelance reporter for FTAdviser