New company seeking equity in planning firms
Former dealer group managing director and private client adviser, Venn Williams, has emerged as the public face of a new venture backed by a property company which is looking to take equity in selected financial planning practices with a view to eventual listing on the Australian Securities Exchange (ASX).
Williams, the managing director of now-defunct dealer group, Charterbridge Davey and until recently a director of Halogen Wealth Services, is fronting up 2020 Capital Management Pty Ltd which has declared it is seeking to purchase 50 per cent equity in selected financial planning practices with a view to growing a network of such businesses and listing on the ASX.
Speaking to Money Management, Williams declined to name the large property company backing the venture but has used a market announcement to state that its backing will avoid any conflict with major institutionally-owned dealer groups.
He said he had exited his position with Halogen Wealth Services after around 10 years and believed that an opportunity existed at the moment to capitalise on the changes occurring in the dealer group environment.
His announcement said the business was looking to take equity in quality adviser's businesses and wanted to purchase up to 50 per cent an pay the advisers in cash and shares in the new company.
"Advisers will not be required to change their current dealer group arrangements or business model," Williams said. "In fact, we want them to continue controlling and building their business. We want to partner with advisers on their growth journey and expand their service offering with new client growth initiatives."
"We can assist with marketing (direct and online) increase clients, develop relationships, additional client services and grow revenues over the next five years," he said. "Once the combined size of the group reached around $3 billion in funds under management, it would be our intention to prepare the company for a listing on the ASX."
The Charterbridge Davey dealer group once headed by Williams was sold off to Royal and Sun Alliance in 2001 after going into voluntary administration.
Recommended for you
ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test.
Quarterly Wealth Data analysis has uncovered positive improvements in financial adviser numbers compared with losses in the prior corresponding period.
Holding portfolios that are too complex or personalised can be a detractor for acquirers of financial advice firms as they require too much effort to maintain post-acquisition.
As the financial advice profession continues to wait on further DBFO legislation, industry commentators have encouraged advisers to act now in driving practice efficiency.
