Verdence Capital Advisors, a Hunt Valley, Md.-based registered investment advisor, has closed its largest acquisition to date, absorbing Harvest Investment Consultants and pushing its assets under management to $5 billion. The deal, which brings in $564 million in client assets, marks the firm's second purchase since selling a majority stake to Wealth Partners Capital Group and HGGC's Aspire Holdings in April.
Harvest's 10-person team, led by Michael Meily, will join Verdence, which was founded in 2017 by Leo Kelly after he left his post as managing director at Hightower. Kelly, who remains CEO, said the acquisition is part of a broader strategy to build a significant East Coast presence and eventually expand westward. "If we find a great person on the West Coast and it fits, we'll go there because people trump location every time," he said. "Our plan is to create a significant East Coast presence and continue to push out west and be a national brand in five years."
Verdence, which offers multi-family office services, is also preparing to hire its first chief technology officer. Kelly said the new CTO will be responsible for building out the firm's AI infrastructure, which is already being used in its investment and marketing teams. Advisors and associates are using tools like Claude to streamline processes, and the firm is working with wealth management data platform Milemarker on AI implementations.
The acquisition of Harvest is the second for Verdence since the April investment from WPCG and Aspire Holdings. The firm's previous private equity backer, Emigrant Partners, had held a minority stake since 2021 but exited earlier this year. Kelly said he expects Verdence to complete "several" more acquisitions before the end of the year, focusing on RIAs with $500 million to $1 billion in AUM that share a client-first culture.
In addition to the CTO role, Verdence plans to hire a new head of family office and a head of estate planning for its family office unit. Kelly emphasized that talent is critical in these acquisitions, and some hires will come through deals. "As we get bigger and we go into [2027], we're going to be looking to make larger and larger acquisitions," he said. "What we aren't is just a rollup. We are not an acquirer. We're an integrator, and so we're not out there buying EBITDA. We want folks that fit our culture."
The firm, which has offices in Alexandria, Va., Boston, Naples, Fla., and New York City, is positioning itself for growth in a competitive RIA market. The move echoes other recent consolidation activity, such as Apella Wealth's two acquisitions that pushed its AUM past $12 billion, and Corient's purchase of FortCay to add $2.6 billion in family-office assets.
Kelly's focus on integrating rather than simply acquiring is a differentiator in a market where many firms are pursuing roll-up strategies. By prioritizing cultural fit and client service, Verdence aims to build a sustainable national platform. The firm's expansion plans also include leveraging technology to improve efficiency and client outcomes, a trend seen across the industry as firms like Vestmark invest in tech after major acquisitions.
With $5 billion in AUM and a clear growth trajectory, Verdence is positioning itself as a significant player in the RIA space. The addition of Harvest's team and assets, combined with planned hires and acquisitions, sets the stage for the firm's next phase of growth.
