HighTower Investment Creates $5 Billion Wealth Manager In California

Two California wealth management firms have merged to create an advisory group with nearly $5 billion in client assets in a deal involving one of the nation’s largest consolidators of advisor firms.

HighTower, a consolidation firm based in Chicago, has made a strategic investment in LourdMurray, an entity created from the merger of LourdMurray of Beverly Hills, Calif., and San Diego-based Delphi Private Advisors, according to a press release.

The newly merged California-based wealth management group serves ultra-high-net-worth individuals, families and institutional clients, the release said.

The combined advisory group, which will operate under the brand name LourdMurray, oversees about $4.8 billion in client assets, according to a press release.

LourdMurray, which has a national clientele, "will leverage HighTower’s growth capital and middle and back-office services to fuel its continued growth and expansion," the press release stated.

The firm has 34 employees in Beverly Hills, San Diego and Baton Rouge, La., according to the release, which added that the San Diego office will temporarily use the transitional name LourdMurray Delphi as the two firms integrate into one.

“LourdMurray is looking to scale to the next level through acquisitions and organic growth," Bob Oros, CEO of HighTower, said in a prepared statement. "This transaction enables them to amplify their position in the marketplace by leveraging HighTower’s investment capital, integrated IT platform, operational services and supportive advisory community."

LourdMurray is HighTower’s 23rd external RIA transaction since inception and its second in 2019, the release said. The deal gives HighTower 98 advisory businesses in 33 states.

"HighTower’s capital and operational support will allow us to substantially expand the capacity of our newly combined team, and provide more clients with a distinctive, high-touch approach to wealth management,” Blaine Lourd, managing partner and co-CEO of LourdMurray, said in a prepared statement.

LourdMurray’s managing partners include Blaine Lourd, Palmer Murray, Michael Lee, Keith McKenzie and Darren Reinig. Lourd and Murray will maintain their roles as co-CEOs, while Lee will oversee operations and strategy and Reinig will serve as CIO, according to the press release.

The HighTower transaction is expected to close at the end of the second quarter 2019, subject to regulatory approvals and other customary closing conditions, the release said.