InvestCorp Purchases Majority Stake in $3B Minnesota RIA

Investcorp has bought a majority stake in a $3 billion Minnesota-based registered investment advisory practice, as the firm aims to increase its merger and acquisition activity in the wealth management sector across North America. 

Plymouth, MN-based Berger Financial Group, founded in 1981, provides financial planning, portfolio management, retirement planning, and tax planning services. 

Following the transaction, Investcorp will gain a seat on Berger’s board, an Investcorp spokesperson said to Connect Money. 

Additionally, all of Berger’s employees have fully transitioned to Investcorp and will continue to be owners in the business alongside Investcorp. 

Specific financial terms of the transaction, which closed on July 29, were not disclosed. 

“The North American RIA sector is entering a period of significant growth and opportunity, supported by favorable tailwinds that mean companies like Berger are poised to capitalize on new and emerging opportunities,” said Nick Asmus, CEO of Berger Financial Group. 

The investment comes as Investcorp states its interest in the wealth management industry is widely driven by the generational wealth transfer, rising financial uncertainty, maturing demographics, and client movement toward fee-based fiduciary advice. 

Investcorp’s latest deal comes about seven months after the alternative asset manager acquired Guardian Fire Services from Northern Lakes Capital. 

In 2024, Berger Financial Group merged with Springfield, Ill-based Robert Gordon & Associates, marking Berger’s 18th and largest acquisition to date for the firm. 

Before transitioning to an independent RIA model, Berger was previously affiliated with Cambridge Investments as an affiliate but broke away in 2020. 

Berger Financial Group has about 100 employees across Illinois, Vermont, Arizona, and Maine and serves roughly 3,800 clients.