The second quarter of 2025 set a new benchmark for mergers and acquisitions in the registered investment advisor (RIA) space, marking the most active second quarter on record, according to ECHELON Partners’ latest deal report. Defying the typical seasonal slowdown, 102 transactions were completed between April and June, making Q2 the third most active quarter ever for the wealth management industry and positioning 2025 to potentially break the annual deal count record of 341, set in 2022. 

Deal momentum remained strong despite continued market volatility, driven by macro trends such as heightened compliance costs, the need for advanced technology, and the pursuit of scale to meet the demands of a generational wealth transfer. Strategic acquirers—consolidators and platform RIAs—led the charge, accounting for 87.3% of Q2’s deal volume. Several of these firms are already pacing ahead of their 2024 totals, reflecting intensified consolidation efforts. 

Merit Financial Advisors topped the leaderboard with 11 announced acquisitions year-to-date. Meanwhile, Mariner Wealth Advisors led in assets under management acquired, largely due to its $292 billion purchase of Cardinal Investment Advisors, contributing to its total of $295.5 billion AUM added in 2025. 

Transaction size also trended upward: the number of mega-deals involving firms with over $20 billion in AUM rose to seven from four in Q1. Another five deals cleared the $10 billion threshold. As a result, total transacted AUM climbed to $828.0 billion from $805.2 billion in the prior quarter. Notably, the average AUM per transaction—excluding deals over $20 billion—hit its second-highest level in the past five years, trailing only the frothy deal environment of 2021. 

Among headline transactions, Focus Financial’s internal merger of Kovitz Investment Group and Focus Partners Wealth stood out, as did Osaic’s strategic investment in CW Advisors. On the financial acquirer front, Bain Capital made waves with its $825 million investment for a 9.9% stake in Lincoln Financial, while T. Rowe Price-backed funds and others bought into Hub International, a major RIA aggregator. 

Private equity activity moderated slightly in terms of deal volume but accelerated in size. The average transaction value jumped to $59.3 billion in Q2 from $36.1 billion in Q1, indicating a tactical pivot toward fewer, larger investments. In total, there were 22 direct PE investments in the first half of 2025, keeping pace with last year’s record-setting trajectory. Private equity-sponsored RIA deals reached 144 through midyear, setting the stage for another potential all-time high by year-end. 

ECHELON also highlighted that U.S.-based PE firms are expanding their wealth management footprint globally, with firms like TA Associates announcing overseas acquisitions. The data reinforces a broader thesis: RIA M&A is not just rebounding—it’s evolving, with dealmakers prioritizing both scale and strategic alignment as the industry matures.