LPL Snags $300M Duo, Ameriprise Adds $130M Advisor
LPL and Ameriprise announced advisor shifts alongside one of several lawsuits being filed alleging misconduct by departing advisors.
On Wednesday, LPL Financial announced that two former Ameriprise registered investment advisors have brought over $300 million in client assets to launch the Southwest Advisory Group. Steve Schulte and Melissa Toler Short have joined LPL’s Linsco W2 affiliation channel based in Yuma, Ariz., and are bringing service associates Rhonda Kirk and Maren Green.
The advisors met at their local Rotary Club before striking up a partnership. Schulte had previously been with LPL from 2010 to 2014.
Steve Schulte and Melissa Toler Short
“Our move to LPL is a strategic decision that aligns with our desire for greater independence and autonomy,” Schulte said in a statement. “LPL’s commitment to advisor support and its absence of corporate influence and proprietary products make it the ideal partner.”
Ameriprise also announced Tuesday that financial advisor Jeff Impey had left LPL to join its branch channel division to partner “with a client-focused firm that offers extensive support and resources.”
Impey, who has 18 years of industry experience and is based in Roseville, Calif., will bring over $130 million in client assets.
“I wanted to align with a firm that would make it easier to provide more personalized service for my clients and has practice management resources to help me create efficiencies,” Impey said in a statement.
He will bring over one employee and be supported locally by Ameriprise Complex Director Kable Doria and Ameriprise Regional Vice President James Frisone.
In separate legal action, Ameriprise filed a complaint against LPL in the U.S. District Court for Arizona on Tuesday.
In the lawsuit, Ameriprise alleges that advisors Jared Roskelley, Matthew Tinyo and Kyle Robertson violated contractual obligations by disclosing Ameriprise’s trade secrets and confidential client information by pre-soliciting and soliciting Ameriprise clients.
The complaint claims the advisors printed 8,887 pages with confidential client and organizational information before departing the firm. Ameriprise alleges that the actions were “for the benefit of a competitor, defendant LPL, which has supported, encouraged and benefitted from those same breaches.”
“LPL operates with the utmost integrity to secure and protect client information,” LPL wrote in a statement regarding the lawsuit. “As a steward of advisor independence in our industry, LPL will vigorously defend itself against these claims and all of Ameriprise’s equally frivolous cases.”
The complaint adds to several cases filed by Ameriprise against LPL and LPL against Ameriprise regarding what the firms allege as inappropriate client solicitation when departing firms.
Emigrant Partners Invests in $2.8 billion Principle Wealth Partners
Emigrant Partners has placed a minority investment in RIA Principle Wealth Partners, a Madison, Conn.-based firm with $2.8 billion in client assets. The firms did not disclose the stake amount.
The capital infusion will expand Principle’s services, team and technology platform and fund the opening of a new flagship in Madison in 2025. Emigrant teams will also work with Principle on growth-oriented projects and give the RIA access to its network of wealth managers.
Principle was founded in 2017 by CEO Robert Paolucci and provides wealth and investment management services, including financial planning, tax and estate planning services, to high net-worth individuals and their related trusts, estates and retirement plans.
Before starting Principle, Paolucci was an advisor and SVP at an independent wealth management firm and held senior roles at Bank of America’s Merrill and Fidelity Investments.
“Maintaining our independence and our entrepreneurial spirit was incredibly important to me and the Principle team, and we look forward to a long and successful partnership with Emigrant,” Paolucci said in a statement.
Colchester Partners was Principle’s exclusive advisor.
Emigrant works with 20 firms overseeing $115 billion in combined assets under management and advisement.
Choreo Expands Leadership Team with Chief HR Officer
Wealth manager Choreo has created a new role of chief human resources officer to be staffed by Shelley Grant Smith, who previously held leadership roles at TIAA, Bank of America and Pepsi.
Smith will lead HR for the firm’s 230 advisors and other employees in 40 locations nationwide. She will report to Choreo CEO Larry Miles.
“As we continue to grow, our teammates and clients will benefit from Shelley’s success developing and executing HR strategies at some of the largest financial institutions in the country,” Miles said in a statement.
Smith joins with three decades of human resources experience, most recently as head of North American HR for technology consultancy Thoughtworks and before that as chief people officer of Movement Mortgage, which has 4,500 employees.
“Joining a well-established, growth-minded organization presents an incredible opportunity to affect meaningful strategies that help us best utilize our most valuable resources, the people of Choreo,” Smith said in a statement.