RCAP has no plans to operate First Allied. “No change is needed in the brand or the leadership of First Allied,” he adds.
Schorsch describes RCAP as a company that is on the move and says more acquisitions or mergers are planned for the future as the firm continues to diversify its investments. He says he is currently looking at the fund space, as well as others.
First Allied's core value centers around driving advisor efficiency and productivity, which has resulted in the company being a perennial leader in average advisor production, RCAP says. The transaction fulfills the longstanding aspiration of RCAP Holdings and its family of companies, currently with over $10 billion in assets under management, to expand its presence in the independent financial advisor segment of the financial services industry, according to RCAP.
“The acquisition of First Allied gives RCAP Holdings a top-notch management team, in our view, one of the premier independent teams in the industry," adds Schorsch. "Our value-add to First Allied is in being the best financial partner we can be, while providing strategic insights and direction where we can be helpful.”
First Allied will continue to be led by Adam Antoniades, CEO and president. “Our affiliated advisors will benefit from immediate access to a well-capitalized platform tailored to provide the mass affluent, emerging high-net-worth and retirement-focused investors with the next generation of industry-leading investment solutions focused on durable income and principal preservation,” Antoniades says.
RCAP will buy the majority interest in First Allied that was held by Lovell Minnick Partners, a private equity firm focused on the financial services industry. In addition to Schorsch, the management team at RCAP is made up of William Kahane, Michael Weil, Peter Budko and Brian Block.