Estancia Capital Partners has closed its investment in Snowden Capital Advisors, an open architecture, hybrid SEC registered investment adviser and broker-dealer. The Snowden investment is the fourth from the firm’s debut fund, Estancia Capital Partners. Terms of the deal were not disclosed.
Estancia Capital Partners, L.P. (“Estancia”), a leading private equity fund focused exclusively on the global asset management, wealth management and related business services industries, announced today that it has closed on its strategic growth capital investment in Snowden Capital Advisors LLC (“Snowden”). Snowden represents Estancia’s fourth investment from its inaugural fund Estancia Capital Partners, L.P. Terms of the investment were not disclosed.
Snowden is a nationally branded, open-architecture, hybrid SEC registered investment adviser and broker-dealer that provides wealth advisory services to individuals, families, and institutional clients. Snowden will use the invested capital to continue recruiting exceptional financial advisory teams in selected markets. Snowden is headquartered in New York City and currently has additional offices in California and Connecticut.
“Estancia continues to execute on its plan of investing in leading asset management, wealth management and related business services companies positioned to capitalize on positive industry secular trends. We believe Snowden has one of the most experienced management teams in the wealth management space providing the expertise and insight to take advantage of the financial advisor movement toward independence, investors’ desire for higher fiduciary standards and conflict-free advice, and the strong cultural implications of advisors owning meaningful equity in their business that creates better alignment among clients, advisors, management and other stakeholders,” said Takashi Moriuchi, a Partner at Estancia.
Added Danny Kang, a Partner at Estancia, “Snowden represents a solid wealth management investment for our developing portfolio and we now have investments in all of our core industry verticals. With our growth capital funding, Snowden offers a robust and seamless platform solution for financial advisors seeking increased independence by way of leaving the legacy wirehouse firms. Cerulli Associates has predicted the advisor market share at the four largest wirehouses will decrease to 34% in 2014 from 48% in 2007. We expect this secular trend to continue beyond 2014 and we are thrilled to be a meaningful capital partner enabling Snowden to opportunistically execute its plan in the company’s additional target markets.”
Snowden is a client-focused, Financial Advisor-owned, and nationally branded independent wealth advisory firm. Through its open-architecture platform, Snowden delivers wealth advisory services to high net worth individuals, families and institutions.
For more information about Snowden, please visit www.snowdenadvisors.com.
Estancia is a private equity firm focused on small to lower middle market investments in Institutional Quality asset management, wealth management and related business services firms. The Principals – Messrs. Mendez, Moriuchi, Kang and Kurttila – have a history of partnering with management and investment teams in providing equity, growth and working capital to facilitate strategic development of portfolio companies including management buy-outs from larger financial firms, private ownership/succession transitions, growth initiatives and investment team lift-outs. Estancia is currently investing its first institutional fund, Estancia Capital Partners, L.P., on behalf of a diversified base of approximately 40 Limited Partners.
For more information about Estancia, please visit www.EstanciaPartners.com.