Buyers demand HNW advice practices

Financial advice practices that service high-net-worth (HNW) clients and earn more than $1 million in recurring revenue are in high demand from acquirers, according to Radar Results.

- Karren Vergara

Buyers are also keen on institutional licensees and private wealth firms that have clients with more than $1 million in investible assets and demonstrate robust compliance history and fee-for-service models.

They typically want target practices located in capital cities and affluent regional centres.

HNW clients bring more than just larger portfolios - they offer long-term value, ongoing engagement, and often more complex advice needs, said Radar Results chief executive John Birt.

For acquirers, this translates to higher revenue per client.