Rothschild, a reputable wealth management firm based in Chicago, recently made its first acquisition by acquiring Sentinus, a registered investment advisor located nearby. This strategic deal has significantly bolstered the total assets under advisement for the combined company, bringing it to nearly $5 billion. Tin Goose, the private-equity firm that serves as Rothschild’s parent company, confirmed the successful completion of the acquisition.
With approximately $4 billion in assets under advisement prior to the acquisition, Rothschild has established itself as both an RIA and broker-dealer. Meanwhile, Sentinus, with approximately $1 billion in assets under advisement, has successfully built its own position within the industry. According to the firms’ most recent Form ADV regulatory filings, Rothschild reported $1.6 billion in assets under management, while Sentinus managed $606 million.
Sentinus, headquartered in Oak Brook, a suburb of Chicago, will now integrate with Rothschild’s platform, ensuring a seamless transition for its wealth managers. Additionally, Sentinus CEO Phil Johnson will assume the role of president at Rothschild, further solidifying the collaboration between the two entities. Owen Schnaper, a partner at Tin Goose, will serve as chairman of Rothschild, utilizing his expertise to nurture the continued growth and success of the combined firm.
This acquisition empowers Rothschild and Sentinus to better serve their clients by leveraging enhanced resources and capabilities. The expanded offering will undoubtedly serve as a testament to their commitment to delivering top-notch wealth management services.
The Future of Financial Advice: Emphasizing Personalized Service
Rothschild, a leading financial institution, envisions a future in which wealth professionals are empowered to meet the growing demand for relationship-driven and personalized service from their clients. Johnson, a representative from Rothschild, stated that the company has always prioritized providing its advisors with the necessary strategies and resources to excel in a client-centered era.
To further enhance their ability to meet the ever-changing needs of their clients, Rothschild has recently acquired Sentinus. This acquisition is expected to bolster their commitment to a culture of excellence and strengthen their position in the market.
The financial industry has seen a surge in mergers and acquisitions (M&A) deals among Registered Investment Advisors (RIAs) in recent years. This trend can be attributed to the influx of private-equity investments and baby boomer RIA owners seeking retirement. Despite a slight decrease in deal volume this year, the size of acquisition targets has grown significantly. Boutique investment bank Echelon Partners reports an average asset value per deal signed in 2023 of $1.7 billion, up from $1.6 billion last year.
Looking ahead, Rothschild is actively considering future acquisitions as they continue to adapt and thrive in the evolving financial landscape. The focus remains on delivering exceptional service while meeting the ever-increasing expectations of their valued clients.
Rothschild and Sentinus: A Powerful Partnership
The recent Sentinus deal has united two distinguished firms with impressive histories. Rothschild, established in 1908 by Monroe Rothschild and Samuel Karger, has been a key player in the financial industry for over a century. On the other hand, Sentinus traces its roots back to 1946 when Richard A. Reynolds, a World War II veteran, founded Reynolds Financial Group. In 2012, the firm underwent a rebranding and emerged as Sentinus. Scott Reynolds, the son of Richard, held the position of CEO until 2016 when Johnson assumed the role.
This momentous collaboration signifies the coming together of two organizations that boast long-standing legacies. Through their partnership, Rothschild and Sentinus are poised to leave an indelible mark on the financial landscape.