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LPL Nabs Kestra-Aligned Practice with $11B in Retirement-Plan Assets

April 5, 2019

A super OSJ aligned with LPL Financial has lured an advice practice overseeing $11 billion in retirement-plan assets that was previously aligned with LPL rival Kestra, according to news reports.

Strategic Retirement Partners, which has 17 offices around the country, has joined GRP Financial, which is the largest hybrid RIA focused on retirement plans on LPL’s broker-dealer platform, InvestmentNews writes. SPR manages assets for over 700 corporate and non-profit retirement plan providers and previously used Kestra Investment Services as its broker-dealer and Kestra Advisory Services and SRP Advisory Services as its RIA services, according to the publication.

With the recent addition, GRP now has 4,500 clients and around $70 billion in retirement assets, as well as around $4 billion in wealth management assets, InvestmentNews writes.

Over the past two years, LPL has been shedding retirement plan-focused practices, losing the Retirement Benefits Group, which oversaw $10 billion, and Resources Investment Advisors, which managed around $5 billion, InvestmentNews writes. Independent Financial Partners, the hybrid RIA and OSJ that left LPL in April last year, received Finra approval in February to form its own broker-dealer, IFP Securities, as reported.

The SRP deal comes on the heels of several large acquisitions of retirement plan-focused firms just in the past week, InvestmentNews writes.

Captrust Financial Advisors added a team from FiduciaryVest, that manages $13 billion in assets under advisement for more than 50 retirement plans.

Cerity Partners announced in a press release earlier this week that it’s merging with the Blue Prairie Group, which oversees $11 billion. And Marsh & McLenna Agency bought the $16 billion Centurion Group, according to InvestmentNews.

The deals are driven by margin compression among retirement plan advisors, the need for expanded support to deal with growing complexity, and a chance to broaden revenue generation, according to GRP Financial CEO Geoff White, the publication writes.

By Alex Padalka
  • To read the InvestmentNews article cited in this story, click here.