Creative Planning Adds $1.3B RIA
Creative Planning has added a wealth management firm, which manages $1.3 billion in client assets, expanding on the firm’s presence in the Silicon Valley market.
Santa Clara, CA-based Grassi Investment Management, founded in 1984, is led by owner Peter Grassi. The team also includes operations manager Katie Leung, assistant operations manager Kathrine Hatch, financial consultant Kenneth Cervantes, and office manager Erica Chavez, according to the firm’s website.
The firm provides “personalized” portfolio management solutions to high-net-worth individuals, families, foundations, and institutions. Additionally, Grassi Investment Management manages 170 clients across 408 accounts and requires a minimum investment of $1 million for their accounts.
The firm has selected Charles Schwab as its custodian, according to its Form ADV Part 2 brochure.
As part of the acquisition, Grassi Investment Management will be gaining an equity stake in Creative Planning, the firm confirmed to Connect Money.
“Our decision to join Creative Planning was driven by our desire to expand our service capabilities and provide more comprehensive solutions for our clients,” Grassi said. “We found that both organizations share a fundamental commitment to client-centric service and take genuine pride in delivering personalized attention.”
The acquisition closed on August 28 and marks Overland Park, KS-based Creative Planning’s fourteenth acquisition, as the firm aims to continue expanding its M&A footprint across the industry.
Creative Planning is expecting to make up to five more acquisition deals before the year ends, with president and CEO Peter Mallouk stating that the firm has a “big focus” on landing deals in strategic areas in Silicon Valley, within the retirement space, and overseas.
Decerno Advisors served as the advisor for Grassi Investment Management’s transaction with Creative Planning.
Recently, Creative Planning acquired Honolulu, HI-based Mosaic Pacific Investment Advisors, which manages about $430 million in client assets.
Creative Planning received minority funding from private equity firms TPG and General Atlantic. Last September, TPG invested in Creative Planning in a transaction valued at $16 billion, while General Atlantic invested in the firm in 2020.
Creative Planning says it has more than $370 billion in combined assets under management and advisement across all 50 states and 90 countries as of June 30.