The independent advisory network Cetera Financial Group has agreed to acquire the retail wealth business of Securian Financial Group, a diversified financial services firm based in St. Paul, Minn.
Under the agreement, Cetera will buy certain assets related to Securian—its broker/dealer, registered investment advisor and insurance agency, as well as the equity of Securian Trust Company—and Securian will distribute its individual life and annuity products through Cetera's affiliated financial professionals.
The acquisition will add more than 1,000 financial professionals and 30 independent firms to the Cetera network, representing $47.4 billion in assets under administration and $24.8 billion in assets under management. Branded as Cetera Wealth Management Group, Securian will be integrated as a “distinct community” within Cetera Advisor Networks.
Employment offers will be extended to the management team and all eligible employees of Securian’s wealth business, according to the announcement, and the trust company will become a stand-alone Cetera entity and continue serving existing advisors and clients while expanding to serve Cetera's other businesses.
"We have long admired Securian Financial's commitment to their managing partners, their powerful independent operating model and dedicated community of independent financial professionals," Cetera CEO Adam Antoniades said, in a statement. "[W]e envision untapped growth potential for the independent financial professionals joining the Cetera network.”
“Cetera delivers on all important aspects of our acquisition partner selection criteria, including community focus, differentiating scale, and industry-leading technology choice and product platforms," added Securian President and CEO Chris Hilger. "This transaction allows Securian Financial to increase our strategic focus and accelerate growth in our priority markets, while at the same time continue our commitment to the retail wealth business."
Founded in 1983, Cetera now has more than 8,000 advisors across its platforms—Cetera Advisors, Cetera Advisor Networks, Cetera Investment Services and Cetera Financial Specialists, all FINRA/SIPC-registered. At the end of last year, the Cetera network claimed around $322 billion in assets under administration and $115 billion under management.
The Securian transaction is expected to close in the third quarter of 2023, pending regulatory approval. Terms are not being disclosed.