Advisory
Avantax to Acquire Headquarters Advisory Group
Avantax, a developer of tax-focused financial planning solutions, has agreed to acquire New Jersey-based Headquarters Advisory Group, LLC, with approximately $1.1 billion in total client assets as of June 30, 2021.
Aug. 02, 2021
Avantax, a developer of tax-focused financial planning solutions, has agreed to acquire New Jersey-based Headquarters Advisory Group, LLC, with approximately $1.1 billion in total client assets as of June 30, 2021. The transaction, which is expected to close in the third quarter of 2021 subject to customary closing conditions, would expand the nationwide footprint of Avantax’s in-house RIA (registered investment advisor).
After the transaction is closed, Headquarters Advisory Group partners Samuel J. “Skip” Angelo, John J. Crowe, and Michele I. Lee will continue with the Avantax family and become Financial Planning Consultants with Avantax Planning Partners℠. The new relationship will let the team serve existing clients while focusing on growing their client base and relying on Avantax Planning Partners to handle business administration and back-office needs on a go-forward basis. Headquarters Advisory Group has a long history with Avantax and one of its predecessor companies, 1st Global, and has ranked among the Top 5 Avantax affiliated firms.
“We started building this billion-dollar portfolio about 20 years ago, and recently felt we arrived at a crossroads in our succession planning,” said Skip Angelo, Managing Member of Headquarters Advisory Group. “We worked closely with Avantax on a creative solution whereby Headquarters Advisory Group will become part of Avantax. Ultimately, it’s a collaboration of teams, a very clear path for our end-clients with even greater support, and little change; it’s proven to be a valuable path for our firm, our culture and the passions we share.”
The acquisition, upon closing, will enhance the national footprint of Avantax Planning Partners, formerly HK Financial Services, which has a 25-year track record of success. The business also recently established a West Coast presence led by Davin Carey, a longtime Avantax Financial Professional who last year joined Avantax Planning Partners as Regional Vice President, Financial Planning Consultant, based in Southern California.
“In addition to being an incredible growth opportunity, it’s also easy for Headquarters Advisory Group clients who already know Avantax and won’t need to endure repapering or a change in the service experience,” said Louie Rosalez, President of Avantax Planning Partners. “Transitioning to Avantax’s in-house RIA involves very little disruption for the advisors or their clients – it’s a clear process focused on meeting the Financial Professionals’ unique goals with client retention in mind.”
The Headquarters Advisory Group transaction underscores how Avantax’s flexible affiliation models support the company’s commitment to the long-term success of its Financial Professionals.
“Avantax is a unique financial partner that can help you when you’re starting your business, as you grow it, and when the time comes, to monetize it. Our multiple affiliation models are excellent for Financial Professionals’ succession needs and for growth-minded Financial Professionals who want to focus on serving clients more than on the administrative burdens that come with owning a practice,” said Todd Mackay, President of Avantax Wealth Management℠. “We’re excited about this evolving relationship with Skip, John, Michele and the team, and we’re eager to pursue growth opportunities together in New Jersey, New York and throughout the Northeast.”
The Avantax Wealth Management and Avantax Planning Partners brands are part of the wealth management segment of Blucora, Inc. (NASDAQ: BCOR), which had a collective $85 billion in total client assets as of March 31, 2021.
Avantax Wealth Management provides tax-focused wealth management solutions to its nationwide network of financial professionals, tax professionals and CPA firms that operate as independent contractors. Avantax Planning Partners operates as an employee-based RIA and wealth management business that partners with CPA firms in order to provide clients with holistic financial planning and advisory services, and retirement plan solutions.