Chartered financial planning firm Fairstone has acquired Octagon Wealth Management and signed a deal to work with UskVale Financial Planning.
With Octagon and UskVale on board the Fairstone proposition has increased by 17 advisers and support staff, boosting the company’s service to its 41,000 private clients, who have more than £7bn in investment and pension assets.
Octagon Wealth Management’s management explained the firm was attracted to the deal as “being part of the Fairstone Group will enable us to continue to offer our clients the service levels and support that we are so proud of, as well as the peace of mind that as part of the Fairstone Group, we have access to in-house specialist advisers in almost every field.”
UskVale Financial Planning brought its 800 client base and £100m assets under management to the table as “becoming part of a leading national IFA will allow us to concentrate on business development and client relationships while Fairstone oversees and manages the compliance and regulatory requirements.
The deal was announced just hours after Bellpenny and Ascot Lloyd announced they have merged to create a £6bn funds under management financial planning company.
The combined organisation of Bellpenny and Ascot Lloyd has more than 100 advisers, looking after more than 40,000 fee-paying clients.
Lee Hartley, chief executive of Fairstone Group, said: “Fairstone has ambitious targets for growth but also for business quality.
"The addition of two companies of such calibre is an extremely welcome addition that will benefit both Fairstone and most importantly, our combined clients.
"Our aim is always to offer the very best whole-of-market choice and independent advice.
“It is my belief that UskVale Financial Planning and Octagon Wealth Management will help us to deliver on these objectives. We have spent considerable time in consultation with both businesses and look forward to helping them realise their full potential.”
The latest deals follow fast on the March acquisitions of Campbell Harrison, Mortgage Find and Pensions & Wealth Management Services, which contributed revenues of £3.25m to the Fairstone account.
In May, Fairstone Group bought DHD Wealth Management for an undisclosed amount.
Last month, Financial Adviser exclusively revealed Fairstone was looking to offer a retirement income to advisers who want to sell their business before stepping aside, in a move that puts it in competition with rival wealth firm St James's Place.
Mr Hartley said the only other company he knew of which offered such an arrangement was SJP so he hoped to offer advisers choice.
The proposition is aimed at advisers who want to sell to consolidator Fairstone, work with the company for a brief period to migrate the business across and then retire.
