Absolute Financial Group, a new independent financial advice (IFA) consolidator, has been launched with the backing of private equity firm Inflexion.
Inflexion’s Buyout Fund VI is supporting the consolidator’s launch with £100m in committed financing.
Paul Hogarth, the founder of Perspective Financial Group and Tatton Asset Management, will join Absolute as non-executive chair.
The new entity will be headed by David Carter as the CEO. Previously, Carter was the chief of CMS Wealth.
Carter noted: “We created Absolute to ensure that the ethics, integrity and legacy of an IFA’s business is maintained within a group that shares their values.
“Whether business owners are seeking succession planning or simply looking to join a larger values-led organisation, we are confident we will be able to meet their requirements through a range of options, underpinned by deep sector expertise and robust financial backing.”
Absolute Financial Group is consolidating advisory businesses under a single structure to support advisers and improve client outcomes.
Its first step involves the acquisition of Absolute Financial Management, a firm located in the Southeast with £1.1bn in assets under advice. It will be the central hub for the group’s future acquisitions.
The deal is contingent on FCA change of control approval.
The move is aimed at developing a business model that addresses the limitations observed in other consolidation models such as loss of independence.
Inflexion managing partner and head of Buyout Fund Flor Kassai said: “We are excited to back another wealth management firm and see significant potential in the team behind Absolute.
“This is a sector where the right digital tools – further enhanced when uniting complementary businesses – can create a player of scale that still delivers both the personal touch and independence that clients value.”
Inflexion previously invested in Succession, a wealth management company.
“IFA consolidator Absolute Financial Group launches with Inflexion backing ” was originally created and published by Private Banker International, a GlobalData owned brand.
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