In Major Merger, LPL Expected to Acquire Commonwealth Financial Network
LPL Financial, the largest independent broker-dealer in the United States, has finalized a deal to acquire registered investment adviser Commonwealth Financial Network, according to sources cited today by Citywire.
The deal, which was rumored yesterday and is expected to be announced Monday, March 31, will bring together two significant players in the independent wealth management space. Commonwealth, based in Waltham, Mass., oversees approximately $344 billion in assets and works with roughly 2,345 affiliated advisers.
Although LPL’s acquisition price for Commonwealth has not been shared, LPL informed employees of the deal today, according to a Citywire source.
Founded in 1979 by Joseph Deitch – who remains chairman – Commonwealth is owned by 12 active partners and three emeritus partners. Wayne Bloom has served as chief executive officer since 2009 and will reportedly remain with the combined company.
In January 2025, Commonwealth retained Goldman Sachs to explore a possible sale of a minority stake in the firm.
When official, the deal will represent another milestone in LPL’s measured mergers and acquisitions activity. The San Diego-based firm – now led by Rich Steinmeier, who took over following the October 2024 termination of longtime CEO Dan Arnold – manages approximately $1.8 trillion in advisory and brokerage assets and supports a network of nearly 29,000 advisers.
The firm added more than 6,200 financial advisers in 2024, bringing its total adviser count to nearly 29,000 advisers.
“This was a transformative year for LPL,” said Steinmeier, CEO of LPL, during a 2024 recap reflection. “We remained focused on supporting our advisers and institutions while expanding our capabilities and reach. Our momentum heading into 2025 is strong.”
Actionable “momentum” is one way to describe the pending acquisition of Commonwealth, which will further consolidate the independent advisory space, where many major firms – such as Cetera Financial Group and Osaic – are now backed by private equity or publicly traded entities.
LPL’s approach to acquisitions has historically favored larger, strategic transactions. In October 2024, the firm completed its acquisition of Atria Wealth Solutions – a broker-dealer with $100 billion in assets – for $805 million in upfront consideration, with up to $230 million in additional earnouts tied to adviser retention. LPL also completed its acquisition of Waddell & Reed’s $63 billion wealth unit in 2021 for $300 million.
Earlier this month, LPL filed a shelf registration with the SEC to raise up to $4 billion over the next three years, stating the funds could be used for working capital, acquisitions, and debt repayment.
Last month, AltsWire reported that Commonwealth had added Schneider Wealth Strategies to its network of independent advisers. Formerly with Cambridge Investment Research, founder David A. Schneider, CFP, reported advising on more than $320 million in client assets as of Sept. 11, 2024.
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