Summit Financial Holdings LLC, a registered investment advisor headquartered in Parsippany, N.J., and Merchant Investment Management, a New York City-based private investment partnership, have jointly agreed to acquire the investment advisory unit of Fieldpoint Private, a wealth management and private banking services company based in Greenwich, Conn., the companies announced in a news release.
Financial details of the transaction were not disclosed. Fieldpoint’s investment advisor unit currently manages $5.1 billion in client assets, which will bring Summit's assets under management to $12 billion.
Once the deal closes, the Fieldpoint unit will merge with Summit, creating one of the nation’s largest independent wealth management firms, the news release said. Fieldpoint’s private banking capabilities will be offered through the Summit advisor services platform, SummitVantage.
Tim Tully, executive chairman of Fieldpoint Private, said the partnership will be mutually beneficial.
“Independence has been in our genes since our founding, and this alliance is the next logical step in bringing our bank, our capabilities and our belief system to a great many more advisors, families and businesses,” he said in the news release, adding that Summit will more than double Fieldpoint’s potential client base, with Merchant potentially representing multiples of that.
Marc Spilker, executive chairman of Merchant, which played the role of matchmaker in the deal, said in the news release that Fieldpoint is coming into the Summit fold in the right way, at the right time. “It is clear that private banking has become more integral to the overall wealth offering,” he said. “Deposits, credit and trust services are all key components of a family’s financial plan and experience. Now with Fieldpoint as a partner, Summit is well positioned to deliver on this promise. As Fieldpoint gets plugged into the SummitVantage offering a real competitive advantage will be created.”
According to Summit Chairman and CEO Stan Gregor, who has led the company the past five years, the acquisition is the final step in his strategy to transform the firm’s technological and service capabilities into a 21st Centur model for success.
“As Summit’s legacy business enters its fourth decade, we are laser focused on expanding our platform, and enhancing both the advisor and client experience,” he said in the news release. “Our vision has been to build the most comprehensive offering in the independent wealth management industry that elevates our culture of financial planning.”
A key step in transacting the Fieldpoint deal was bringing in Merchant Investment Management as a partner in 2019. The investment partnership provided Summit with durable equity capital to scale over the long haul, and the funding required to launch Summit Growth Partners (SGP), an advisor capital solution. Gregor attributes both Summit Growth Partners and SummitVantage, his firm’s proprietary technology platform, for more than tripling its assets, he said in the news release.
“Through this partnership and acquisition, Summit continues to broaden our offering to meet the needs of high- and ultra-high-net-worth clients with award-winning banking solutions,” Gregor said in the email. “This in turn allows our advisors to differentiate themselves as they compete to win business.”