SAN DIEGO, CA, September 1, 2021 – Pure Financial Advisors (“Pure Financial”) and Lee Equity Partners (“Lee Equity”) today announced an agreement under which funds managed by Lee Equity will acquire a stake in the rapidly expanding $3.6 billion Registered Investment Advisor (RIA). As part of this transaction, senior management and employees of Pure Financial Advisors will remain significant shareholders, as will Emigrant Partners, LLC.
“We are extremely gratified by the success of Pure Financial Advisors, having worked with management to create a strategic wealth management platform that delivers a truly integrated and robust client experience. The business has rapidly achieved scale and established itself as a market-leading RIA with immense future potential. We are excited to continue as investors and look forward to further building Pure in our new partnership with Mark Gormley and Danny Rodriguez at Lee Equity,” said Karl Heckenberg, CEO of Emigrant Partners.
Founded in 2007, Pure Financial’s sole mission is to provide the highest quality, conflict-free financial advice, and education. Today, the Southern California-based firm serves more than 2,600 households across four offices, while employing more than 30 client-facing professionals that hold the CERTIFIED FINANCIAL PLANNER™ (CFP®) designation. “One of the keys to our success has been the tax planning that we do,” said Alan Clopine, CEO of Pure Financial Advisors and himself a CPA. “Many advisors ignore taxes altogether, but we focus heavily on what clients can do to save money in taxes both now and in the future. We never forget that it’s not just what a client makes, it’s what they keep that determines the quality of their retirement.”
In addition to its focus on tax planning, Pure Financial is also known for its client-centric service model, analytical approach to investing, and robust financial education and marketing platforms. Pure Financial has been named one of RIA Channel’s Top 100 Wealth Advisors in 2019, a Top Registered RIA in the Nation 2020, and one of the Financial Times Top 300 RIAs in the U.S. from 2014-2020.
“Pure has established itself as one of the fastest-growing RIAs and has impressively accomplished that feat based solely on organic growth,” said Danny Rodriguez, a Partner at Lee Equity. “We are thrilled to partner with Pure’s management team to help build upon their comprehensive, tax-focused financial planning service model, invest in their platform, and help Pure scale the business both organically and through strategic mergers & acquisitions.”
Lee Equity’s investment will enable Pure Financial to continue building its footprint by adding more CERTIFIED FINANCIAL PLANNERS™, investing in IT infrastructure, and expanding its best-in-class multi-channel marketing efforts. In addition to accelerating its already rapid organic growth, the partnership will also enable Pure Financial to engage in strategic acquisitions of firms that align with Pure Financial’s mission to provide the mass affluent with the highest quality, conflict-free advice.
“We started the firm in order to provide family office type services to the mass affluent,” said Joe Anderson, President of Pure Financial Advisors. “By partnering with Lee Equity, we’ll have the ability to make significant investments in our existing business, as well as expand our footprint beyond Southern California. Ultimately, the goal is to help as many people as possible meet their financial goals.”
Financial terms of the investment were not disclosed. The transaction is expected to close in the third quarter of 2021, subject to customary closing conditions.
About Pure Financial Advisors
Founded in 2007, Pure Financial Advisors is a registered investment advisor offering independent, fee-only financial planning, education, and investment advice to clients nationwide. Based in San Diego, CA, Pure Financial Advisors has offices throughout Southern California and as of March 2021 managed over $3.29 billion in client assets.
Pure Financial Advisors has been named to many industry awards and rankings over the years including Inc. Magazine’s Best Places to Work for 2021, Financial Times Top 300 RIAs in the US for 2020, and Best Places to Work in San Diego list by San Diego Business Journal in 2020.
If you have any questions about the awards listed or designations mentioned, please visit www.purefinancial.com.
About Lee Equity Partners
Lee Equity Partners is a New York-based private equity firm that partners with successful management teams to build companies with strong growth potential. Lee Equity targets equity investments of $50 million to $100 million in middle-market control buyouts and growth capital financings in companies with enterprise values of $100 million to $500 million that are located primarily in the United States. The firm invests in a range of industries where the team has deep relationships developed over decades, including business services, financial services, and healthcare services. Visit www.LeeEquity.com.
About Emigrant Partners, LLC.
Emigrant makes non-voting minority investments into wealth, asset, and alternative asset management firms to help them achieve their goals. Emigrant and its affiliate Fiduciary Network are currently partnered with 18 firms overseeing approximately $80B in aggregate AUM and AUA. Emigrant is wholly owned by New York Private Bank & Trust which is headquartered in New York City.
