All Access

Pro Rata Premium

Axios Pro Rata Premium

Standard

Axios Pro Rata: Non-Premium Subscribers

Other

Inside private equity's RIA play

The rollup runway

The exit question

The part that capital can't buy

Driving the day

Final numbers

RIA dealmaking is setting records, but a relatively small group of large advisory firms is driving much of the activity.

Why it matters: As sponsor-backed platforms use M&A to scale, they're becoming valuable investment targets themselves.  

Case in point: TA Associates and Onex-backed Wealth Enhancement Group —   one of the most active buyers in Q2 with seven deals — is currently for sale. 

Carlyle and Bain are reportedly the final bidders for a deal that would value it at roughly $7 billion, including debt. 

State of play: Private equity has increasingly backed — and re-backed — consolidators driving the rollups.

Creative Planning, backed by General Atlantic and TPG, acquired SageView last year, adding about $250 billion in retirement and wealth assets.

Stone Point recapitalized Kestra in February 2025 to accelerate acquisitions through Bluespring, its RIA acquisition arm. 

Stone Point and CPP Investments took a majority stake in OneDigital last September at a valuation above $7 billion, backing a broader benefits, retirement and wealth-services acquirer.

Context: RIAs manage client wealth and provide financial-planning services, generating recurring fee revenue that sponsors can scale through acquisitions and shared infrastructure.

PE provides capital to RIA acquirers doing rollups and also directly invests in larger platforms through minority stakes and recaps.

By the numbers: RIA dealmaking had its busiest Q2 ever, with 120 transactions announced, according to Echelon. PE-backed acquirers accounted for nearly 76% of those. 

Alongside Wealth Enhancement Group, the most active buyers were SEI-backed Stratos Wealth Network with 11 deals and Bain Capital-backed Carson Wealth with six.

The bottom line: "Private equity does well when there's some degree of fragmentation and a reason for that consolidation to happen," GTCR co-CEO Collin Roche says.

1. Inside private equity's RIA play

Illustration of two people shaking hands on a giant stack of money. 

Dealmaking has barely dented the RIA target universe, which means that sponsor-backed platforms have plenty of room to grow.

By the numbers: The number of SEC-registered investment advisors rose to a record 16,544 in 2025, including 511 new RIAs launching with $80.6 billion in assets.

That leaves a deep pool of smaller firms for repeat buyers, even as fewer scaled platforms account for more of the industry's assets.

Between the lines: For independent firms, selling to an established, sponsor-backed player can offload back-office and operational work, freeing advisors to focus on clients. 

Being part of a larger platform also offers tax, estate, trust, insurance and other specialist services that are increasingly part of the client-retention pitch.

What they're saying: "It's not just the margin we're playing for, it's the growth," GTCR's Roche says.

2. The rollup runway

Illustration of a man leaning confidently against a large stack of money.

The larger RIA buyers become, the harder it may be to find an exit beyond another sponsor-to-sponsor deal.

The big picture: Only a small set of obvious strategic buyers exists, and with Focus Financial taken private, there's no longer a clean IPO comp set.

In April, LPL agreed to acquire Mariner Advisor Network, a segment of Mariner whose affiliated advisors collectively manage $31 billion in client assets.

Other active strategic buyers include employee-owned Mesirow and Empower, the retirement-services arm of Great-West Lifeco.

State of play: Meanwhile, sponsors are increasingly pursuing recaps and continuation vehicles.

In the first half of 2026, seven direct sponsor transactions were recaps, including four where existing investors kept parts of their stakes. 

Incumbent sponsors also are rolling equity in new sponsor-led transactions. Integrum's investment in Allworth Financial let insiders Lightyear Capital and Ontario Teachers' Pension Plan retain their stakes.

"The clearest takeaway is that incumbent sponsors are choosing to stay rather than sell," Echelon writes.

3. The exit question

Illustration of line graph turning into a question mark

Private equity can help an RIA buyer write a bigger check, but it can't guarantee a smooth integration.

Reality check: Every acquisition model assumes key advisors will stay, clients will keep assets with the firm, and operating savings will arrive on schedule.

What they're saying: "The firms that are most successful have built integration teams that can transition advisors and end clients to their platforms efficiently," Echelon managing director Barnaby Audsley said. 

"The top-tier buyers make it a point to integrate quickly post-close," he added.

Inside the room: Integration starts by identifying key client-facing advisors and using rollover equity, earnouts and succession plans to retain them.

Buyers need to phase in back-office changes on a clear timeline without disrupting the lead advisor's client relationships or forcing clients onto new systems overnight.

The intrigue: Rollover equity and earnouts can keep founders invested post-sale, but next-gen advisors want guarantee of a credible path to ownership.

4. The part that capital can't buy

Illustration of an elderly hand touching a puzzle of a hundred dollar bill

🛡️ Fewer VC cyber deals (Chris Metinko) 

Deals are still declining, but checks are growing.

💊 Biotech attorneys talk IPOs (Natalie Breymeyer)

Despite a surge in listings, the market remains selective.

⚡ Geothermal wildcatters (Katie Fehrenbacher)

EIG lays out plans for its debut geothermal project fund. 

Stripe and Advent ended their $53 billion effort.

⬆️ Interest rate increases in play (Neil Irwin, Courtenay Brown)

Fed chairman Kevin Warsh is looking to manage persistent inflation.

📈 Software stocks are back (Emily Peck)

The State Street Software and Services ETF rose 5.2% yesterday. 

5. Driving the day

Animated illustration of a steering wheel that turns back and forth before turning into a clock that moves from 9 a.m. to 5 p.m. and then changing back.

Data: Echelon Partners; Chart: Ryan Lawler/Axios 

6. Final numbers

topics

politics-policy

epstein-files

donald-trump

2026-midterm-elections

immigration

behind-the-curtain

race-and-equity

technology

privacy-tech-regulation

automation-and-ai

tiktok-news

big-tech

social-media

August 28, 2026

1. Inside private equity's RIA play