Sanctuary Wealth Redefines RIA Channel and Fully Supported Independence Model with Acquisition of tru Independence

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May 01, 2024, 08:00 ET

Transformative Combination of Firms Maximizes Freedom, Flexibility, Control and Choice for Industry's Most Elite Financial Advisors

Expanded Enterprise Provides Comprehensive Ecosystem of Industry-Leading Solutions and Capabilities, Empowering Highly Sophisticated Advisors to Build Robust Independent Businesses

INDIANAPOLIS, May 1, 2024 /PRNewswire/ -- Sanctuary Wealth (Sanctuary), home to the next generation of the industry's most elite financial advisors, today announced the acquisition of tru Independence (tru), a Portland, Oregon-based enterprise that supports 30 RIA firms managing $12.5 billion in client assets. The combination of Sanctuary and tru – each a top firm that has had a transformative impact within the fast-growing RIA channel – redefines independence in the wealth management space. Creating an unparalleled platform for highly sophisticated financial advisors, the combined enterprise offers the broadest possible range of independent business model affiliation options and capabilities across the industry landscape.

Upon completion of the transaction, the firms—each supporting financial advisors who serve discerning high-net-worth and ultra-high-net-worth clients—will operate as distinct entities, maintaining their existing well-established brands and leadership teams and working together to provide the best of each enterprise's offerings. The combined entity will support approximately 120 independent wealth management firms managing over $42 billion of client assets across 30 states.

Transformative Acquisition That Redefines Industry

"Sanctuary and tru have built their businesses on partnered independence, where being independent does not mean going it alone. tru is a pioneer in independent wealth management and an innovator in supporting elite advisors who wish to own their own RIAs. With a well-earned reputation for authenticity and transparency, tru's core values align with Sanctuary's. Together, the firms have an unprecedented opportunity to collectively redefine what it means to be a full-service, multi-channel independent wealth management enterprise that specializes in supporting only the most successful financial advisors with sophisticated businesses and accomplished clients," said Adam Malamed, CEO of Sanctuary Wealth.

"This transformative acquisition significantly enhances our support for the industry's most elite advisors everywhere, from wirehouse breakaways to already independent advisors. Moreover, consistent with Sanctuary's guiding vision, this transaction reinforces our commitment to providing partner firms with unequaled freedom, flexibility, control and now adds even greater levels of choice. Each growth initiative we undertake, including this acquisition, is about empowering financial advisors by firmly putting them in the driver's seat and providing them with the level of support they want in order to focus on supporting their clients and building the equity value of their own businesses," Mr. Malamed added.

Parallel RIA Channel Success of Sanctuary and tru

Craig Stuvland founded tru Independence in 2014 and is the firm's CEO. tru empowers investment advisors, whether starting their journey toward independence, transitioning to the next phase of their business or seeking greater ongoing operational efficiency. tru's platform provides the full suite of services independent advisors need to manage and grow their practices. The firm has been a leader in the RIA space since its launch, thanks mainly to its innovative platform, operational expertise and industry knowledge.

Sanctuary operates a multi-custodial, hybrid model that successfully attracts elite, often former wirehouse advisors who want to enjoy the benefits of owning an independent wealth management firm while entrusting the regulatory responsibilities associated with running an RIA to someone else. At the same time, tru has thrived by catering to top advisors who wish to have their own independent regulated entity with the support of experienced professionals. The combination of Sanctuary and tru creates an enterprise with the expertise and objectivity to offer unbiased guidance on which independent model is best for each advisor's business based on their preferences and goals.

"Sanctuary is the undisputed leader in helping top wirehouse advisors establish their independence with their multi-custody, corporate RIA model. Rooted in our shared commitment to providing advisors ultimate choice, the combination of Sanctuary and tru will fundamentally transform the RIA ecosystem," Mr. Stuvland said. "Separately, both firms have successfully attracted top-tier advisors and practices, albeit using slightly different approaches. Together, we are confident top-quintile advisors across the wealth management space will quickly appreciate everything our expanded enterprise represents and will be eager to take advantage of affiliation options that best suit their practices, staff and clients."

Highly Complementary and Accomplished Leadership Teams

Both leadership teams have significant executive experience across the wealth management spectrum, including the wirehouse, RIA and IBD channels. The two firms' highly successful and complementary models were built to provide top-tier independent financial advisor business owners with the comprehensive and sophisticated solutions, support, infrastructure, platform and culture they need to thrive.

Sanctuary's presidents, Vince Fertitta and Robert Walter, have each played an integral role in the enterprise's success and growth since its inception as key members of the firm's executive leadership team.

In a joint statement, Mr. Fertitta and Mr. Walter said, "It has been a privilege to shape Sanctuary's strategy, commitment to our Partner Firms and unique value proposition from the outset. We look forward to working closely with tru to build further on our shared industry leadership when it comes to delivering an exceptional service experience and growth results to the financial advisors we support."

Mr. Malamed concluded, "Our industry has reached a unique inflection point where there are exponentially greater growth opportunities than ever for elite financial advisors who aspire to be independent wealth management business owners. Through Sanctuary's comprehensive ecosystem of solutions and capabilities, our expanded community of Partner Firms will be well-positioned to maximize these opportunities. We look forward to utilizing the unique offerings and expertise tru brings to the table, and we are excited to work closely with Craig, Amit Dogra and the entire tru management team as we lead the way forward in our industry's ongoing evolution."

KPMG was Sanctuary's due diligence advisor, and Akin Gump Strauss Hauer & Feld LLP was Sanctuary's legal advisor. ECHELON Partners served as the exclusive sell-side financial advisor to tru, while Winthrop & Weinstine served as tru's legal counsel.

About Sanctuary Wealth
Sanctuary Wealth (sanctuarywealth.com/) is the advanced platform for the next generation of elite advisors who have the entrepreneurial spirit to build and own their practices and desire the freedom to deliver the tailored service their clients deserve. Sanctuary Wealth's ecosystem of partnered independence provides a complete technology and operations platform, support from a community of like-minded advisors and the resources of invaluable affiliated businesses. Currently, the Sanctuary Wealth network includes partner firms in 27 states nationwide with approximately $30 billion in assets on platform. Sanctuary Wealth includes the fully owned subsidiaries; Sanctuary Advisors LLC, an SEC-registered investment adviser, Sanctuary Securities, Inc. a FINRA member broker-dealer as well as Sanctuary Alternative Holdings, Sanctuary Asset Management, Sanctuary Insurance Solutions, Sanctuary Global, and Sanctuary Global Family Office.

About tru Independence
Founded in 2014, tru Independence is a leader in delivering independence optimized to established RIAs and breakaway advisors seeking to grow their business efficiently and effectively. Drawing upon decades of industry experience, tru Independence is a service delivery firm that creates a unique experience for advisors through the combination of behavioral finance, fintech and human capital. The breadth and depth of this expertise allow advisors to focus on client services, while tru focuses on being a fiduciary, growth and service excellence partner. For more information, please visit www.tru-ind.com Independence Optimized.℠

Media Contacts for Sanctuary Wealth:
Donald Cutler or Joseph Kuo
Haven Tower Group
424-317-4864 or 424 317 4851
[email protected] or [email protected]

Media Contacts for tru Independence:
Jimmy Moock or Lindsay McCoy
StreetCredPR
610-304-4570 or 906-322-4982
[email protected] or [email protected]

SOURCE Sanctuary Wealth