RIA Deal Market Sets New Records as Selectivity Redefines Valuations
According to the 2026 RIA Deal Room Report from Advisor Growth Strategies, sponsored by BlackRock, transaction activity remains strong following a wave of 2025 deals. However, the latest data shows that demand is becoming increasingly targeted, with valuation premiums reserved for firms that meet specific strategic and operational criteria.
“While transaction activity continues at unprecedented levels, this year’s research highlighted the pressure on middle-market firms,” said Brandon Kawal, Partner at Advisor Growth Strategies and lead author of The RIA Deal Room. “Talent is driving acquisitions, equitization is no longer optional, and buyers are focused on long-term incentive alignment. We expect the gap between average and premium valuations to continue to widen – this matters for every firm.”
The report underscores that elevated demand does not translate into universal premiums. Buyers are prioritizing firms with strong organic growth potential, aligned leadership teams and scalable platforms, reinforcing a more segmented market.
Deal structures are also evolving. Equity is playing a larger role in transactions, with the average 2025 deal including 29% equity—an indication that shared ownership and next-generation succession planning are becoming central to transactions.
Mid-sized firms, particularly those with $500 million to $5 billion in assets, face the most acute strategic decisions. “Thriving as a boutique wealth firm in the middle of the market is more challenging than ever before,” firm in the middle of the market is more challenging than ever before,” said John Furey, Managing Partner at Advisor Growth Strategies. “Firms facing the rising challenges of expanding services, retaining talent, and evaluating new AI technology will be driven to do hard internal work or seek external optionality from more selective buyers.”