Osaic Inc. has landed a major recruiting victory, poaching a 22-advisor team from LPL Financial that manages $2.3 billion in client assets. The team, known as ICG next and based in New Jersey, will join Osaic's platform, the firm announced Tuesday morning. The move underscores the intensifying competition between two of the largest independent broker-dealers in the U.S.
ICG next, led by managing partner James A. Costabile, includes roughly 21 financial advisors along with dedicated client service and operations staff. The team has nearly tripled in size since 2019 and plans to continue expanding through organic growth, advisor recruiting, and acquisitions, according to a press release. Costabile emphasized the team's commitment to "comprehensive advice, long-term stewardship, and what we call 'caring competence'" in the announcement.
The recruiting battle between Osaic and LPL is nothing new. Just last month, Midwest Financial Group, a $450 million practice, left Commonwealth Financial Network—an LPL-owned firm—to join Osaic. These moves highlight the aggressive poaching strategies employed by both firms as they seek to bolster their advisor headcounts and asset bases. Osaic, backed by private equity, boasts a network of more than 10,000 advisors across its platform.
For ICG next, the decision to switch firms was driven by a desire for a partner that understands its distinctive approach while providing the scale and support needed to achieve strategic objectives. "As we thought about what's next for our clients, our advisors and our business, we wanted a partner that understood what makes ICG next distinctive while giving us the scale and support to reach our strategic objectives," Costabile said in the release.
The move also reflects broader trends in the independent broker-dealer space, where consolidation and advisor mobility remain high. Firms like Osaic and LPL are vying for top talent, often offering competitive transition packages and technology platforms. The competition has intensified as advisors seek more flexibility and support in serving their clients, particularly in areas like retirement planning and private assets.
Osaic's recent recruiting wins come amid a period of significant change for the firm, which has been integrating several acquisitions and rebranding efforts. The addition of ICG next is expected to strengthen Osaic's presence in the Northeast and bolster its capabilities in serving high-net-worth families. LPL, for its part, has not commented on the departure, and a spokesperson did not return calls by press time.
The rivalry between Osaic and LPL is part of a larger landscape where billion-dollar RIA deals and advisor poaching cases are becoming more common. As firms compete for market share, the movement of large teams like ICG next is likely to continue, reshaping the competitive dynamics of the industry.
For advisors considering a move, the decision often hinges on factors such as payout structures, technology, and the ability to maintain client relationships. The ICG next team's transition to Osaic is expected to be seamless, with the firm providing comprehensive support to ensure continuity for clients. As the year progresses, industry observers will be watching to see if LPL responds with its own recruiting initiatives to counter Osaic's gains.
