Echelon Partners has published its annual registered investment advisor mergers and acquisitions deals report, recapping the rapid pace of RIA M&A activity seen in 2025.
Overall, the report shows, RIA transactions rose 27.3% year over year, marking the fastest annual growth rate since 2021 thanks to the ongoing efforts of repeat acquirers and firms making both recapitalizations and platform investments.
Mega-sized deals got a lot of attention, the report notes, but firms with less than $1 billion represented more than half of announced transactions last year. Many of these smaller deals (and some larger ones) represented leading RIAs expanding into tax, trust and specialist investment capabilities to build more comprehensive client relationships.
"RIA M&A has shifted from opportunistic to structural," said Dan Seivert, CEO and managing partner of Echelon Partners, in a statement issued alongside the report. "The firms setting the pace are using acquisitions to scale capabilities, talent and technology, and that momentum is positioning 2026 to be another standout year."
The Scoop on Big Transactions
As the Echelon report details, the growth in the number of transactions involving wealth managers with at least $1 billion in assets under management accelerated in 2025 — the third year in a row it has done so.
Transaction volume increased to a record 185 deals in 2025, Echelon reports, up from 140 deals in 2024 for a 32.1% increase.
"This surge in $1 BN+ activity reflects continued buyer demand for developed, professionally managed platforms that can serve as strategic footholds in key geographies and accelerate growth through both organic expansion and continued M&A," the report states, suggesting there are three key reasons for the increase in mega-transactions.
First is the ongoing competition for scaled, high-quality platforms.
"Buyer demand for at-scale RIAs remained strong in 2025 as strategic acquirers continued to prioritize firms with proven organic growth strategies, experienced leadership teams, and the ability to support integration and future deal activity," the report finds.
Second, minority investments continued to play a role, especially for larger firms.
As the report details, minority investments represented 16.2% of all $1 billion-plus transactions in 2025, though this figure reflects a 42.3% decrease from 2024.
"Despite this decline, these investments remain an important capital pathway for the largest firms seeking liquidity and growth capital while retaining significant ownership and long-term strategic control," the authors suggest.
Notably, they add, 43.3% of all minority transactions involved firms managing over $10 billion in assets, highlighting the continued use of structured capital solutions and recapitalizations among scaled wealth managers.
Third, private equity-backed strategic buyers continued to drive a meaningful share of mega-sized deals.
"Private equity backing remained a significant catalyst for large-platform dealmaking in 2025, providing strategic acquirers with the capital and flexibility to pursue acquisitions of larger wealth managers," the report recounts. "Of the 185 transactions involving firms with at least $1 billion in assets, 105 (or 56.8% of total transactions in this segment) were completed by PE-backed strategic buyers."
Overall, the most active acquirers in the mega-deal segment included Corient (seven transactions), Focus Financial Partners (six transactions), Creative Planning (five transactions), and Merchant Investment Management (five transactions).
The Smaller Side
As noted, sub-scale M&A transactions continued to drive overall deal volume in 2025, supported by well-capitalized strategic buyers and sustained sponsor interest.
While firms with under $1 billion in AUM accounted for less than 14.3% of total assets transacted, they represented 54.0% of announced transactions. This distribution, according to Echelon, underscores buyers' continued focus on smaller, scalable acquisitions that enable them to expand their footprint efficiently.
What This Year Could Bring
In 2026, Echelon expects continued expansion of the RIA M&A buyer universe, with unique buyers up around 18% year over year.
Recent large-scale entrants include Great Hill Partners' minority investment in Mission Wealth ($10.7 billion in assets) and CIVC Partners' majority investment in Cary Street Partners ($10.0 billion).
"Strong sponsor interest and continued platform scaling are driving smaller firms toward partnerships, supporting elevated M&A activity across the sector," the authors conclude. "New investors accounted for 15% of assets transacted in 2025, down from 29% in 2024. We expect to see their market share increase in the upcoming year as new private equity firms and other investors enter the forum."
As in 2025, the report projects, service expansion will be a key theme accelerating M&A this year.
"Among scaled national RIA platforms, cross-functional models are becoming embedded in strategies, deepening client relationships through recurring engagement points across planning, investment, tax and estate needs," the report notes.
Ultimately, the report concludes, broader offerings continue to expand cross-sell and referral entry points, while ongoing M&A-driven scale will enable investment in specialized talent, including CFPs, CPAs, lawyers and trust professionals.
"As this model proliferates, holistic advice platforms are expected to maintain a competitive advantage," the report states.
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