RIA M&A in 2025: Market Trends, Seller Strategies, and Finding the Right Buyer

If you thought the mergers & acquisitions wave in wealth management would lose steam in 2025, think again. Last year broke records, and this year is already keeping pace. Translation: if you’re an RIA owner considering a sale, partnership, or succession, the window of opportunity isn’t just open—it’s wide open. But before anyone pops the champagne, let’s break down what’s driving this surge and why the “matchmaking” part of M&A matters more than ever.

Why M&A in Wealth Management Is Accelerating

Record deal volumes. In 2024, the wealth management industry saw 366 announced deals, up 14% from 2023. And the momentum hasn’t slowed. Q1 2025 clocked 88 U.S. transactions, the highest first quarter on record.

Private equity is running the show. By mid-2025, 72% of all announced RIA deals were backed by private equity. That’s a huge leap from 2023, when PE-backed or direct investments fueled 199 deals, compared to 259 in 2024.

Bigger sellers, higher stakes. Mid-sized RIAs managing $1–5 billion in AUM made up 33% of Q1 2025 deals. The average seller’s AUM is now closer to $1.2 billion, compared to $819 million just a couple years ago.

Motivations are diversifying. Sellers are chasing liquidity, scale, tech infrastructure, and succession planning. Buyers, meanwhile, are getting picky. They want sticky clients, complementary services, and operational muscle. It’s not just about size anymore but about fit.

What This Means for Sellers

Here’s the rub: sellers have leverage, but it’s not infinite. Buyers are scrutinizing retention rates, compliance, tech stacks, and talent as much as they’re looking at AUM.

• Timelines are long. Expect 9–12 months from “we’re interested” to “deal closed”. That includes prep, due diligence, negotiations, and integration. Firms that already “run a tight ship” tend to fare better when the paperwork hits the fan.
• Not all buyers are created equal. Between aggregators, PE shops, and strategic players, there’s no shortage of suitors. But cultural fit, post-deal support, and financial strength vary dramatically. Anyone can find a buyer. The real game is finding the right buyer.
• Matchmaking is now a strategy, not a side hustle. Firms that align with buyers on succession, client service models, and long-term growth goals don’t just get better terms, they also avoid the post-closing hangover.

In short: the M&A market in wealth management is both booming and maturing. For RIA firm owners, this creates an unusually strong seller’s market—but one that demands preparation, strategy, and wise partner selection.

Beyond AUM’s Take

Since Beyond AUM was founded, our goal has been to help firms at all stages – from inception to succession. In 2022, we worked on our first RIA matchmaking deal with a longtime client, after years of corporate experience on the acquisition side of the table. We learned a lot in the process about staying focused, being discerning, and keeping emotions and egos in check. Fast-forward: we’re now on our fourth matchmaking engagement, and we’ve seen firsthand how important planning (sometimes years) ahead can be. Successful sellers don’t just prep financials. They:

• Diversify their client base across demographics, like age bracket or location.
• Segment clients not just on AUM but on metrics like revenue, profitability, held-away assets, referral rate, and liquidity or drawdown event projections.
• Expand service scope – Identify and hire for opportunity areas, e.g. tax planning and compliance, business valuation and exit planning, client success.
• Build out a deep bench of talent – Focus on employee retention, well-defined job descriptions, detailed career paths, continued education and skill enrichment.
• Futureproof their Cap Table: Structuring equity or partner stakes for both unforeseen business continuity and planned succession events.
• Accelerate value and brand equity through marketing opportunities: Unlike other industries, buyers are largely not looking at your website traffic numbers or social media following as part of valuation. However, they do note client retention rates and lifetime value, client referral rates and net promoter scores, third-party reviews, awards and rankings, and a well-communicated UVP or niche targeting. Additionally, they notice when internal stakeholders have garnered mainstream media placements or article syndication, merited speaking events or have been featured on podcasts, and provided thought leadership in webinars, eBooks, and more.

As M&A in our industry matures, it’s become less of a luxury and more of a necessity for sellers to do the pre-work so that when the time comes, they understand their options, identify right-fit buyers, and execute from a position of strength. It’s never too early.

Featured Links

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AI is changing the game for PR and communications. Search is no longer just about keywords, it’s about conversations. AI summaries, zero-click results, and entity-based authority are reshaping how brands—including those in financial services—share insights, build credibility, and connect with audiences. The key? Clear, structured content, strong thought leadership, and storytelling that resonates with both people and AI.

From Clicks to Clients: Not All KPIs Are Created Equal by Matt Sonnen

In today’s data-rich environment, not all metrics tell the same story. For RIAs and service-focused businesses, clicks, likes, and calendar fills can create the illusion of progress, but they don’t always translate into real growth. Focusing on deeper engagement, client conversion rates, and profitability provides a clearer picture of business performance, helping firms drive lasting success.

Six Ways to Retain Your Brand Autonomy Post M&A by Gretchen Halpin

Mergers and acquisitions can bring growth and resources, but they don’t have to mean losing what makes a firm unique. By staying grounded in their mission, protecting their distinct voice, and supporting both clients and teams, advisory groups can thrive within a larger organization while keeping the qualities that earned client trust and loyalty.

Kestra Survey Looks At ‘Messy’ Succession Planning by Judy Faust Hartnett

Many first-generation advisers lack fully documented succession plans, leaving next-generation advisers uncertain and firms at risk. Clear communication, hands-on training, and tangible plans are key to ensuring smooth leadership transitions and long-term continuity.

Quick Hits

• Bill Bengen’s iconic 4% rule for retirement spending is evolving. Today, retirees might safely start at 4.7%, reflecting modern portfolios and market conditions.
• Chasing revenue like it’s a trophy? Slow down! Profit is the real medal you want. Learn how to grow your business without letting your margins vanish.
• Cash out or cash-trap? The tax man has opinions on clients’ business sales. Smart structure makes the difference between a windfall and a wipeout—and smart advisors ask about exit goals and timelines early.
• Turns out, butts in seats don’t equal growth. Remote work flexible firms are growing 1.7X faster and small businesses are leading the charge.

Videos

• Will AI Recommend Your Firm? How to Win the New Search Game with Samantha Russell – Future Proof
• Trends in Advisor Technology: The Latest from Kitces Research – Future Proof
• Why Your Retirement Plan Might Backfire – CNBC

Tools & Guides

• Want Google to notice your site? Start building links. Tim Soulo’s Link Building for SEO: The Beginner’s Guide breaks down everything from “foundational” social profile links to earning backlinks naturally with standout content. Learn the tactics that actually move the needle, like competitor link replication, creating linkable assets, and strategic outreach, and the tools to make it manageable. If you want to boost your search rankings, this is the roadmap.
• Getting found is one thing. Getting chosen is another. This guide breaks down the 1–2 punch of local SEO: clean, automated location data paired with genuine, ongoing review management. From star ratings and sentiment themes to owner responses that turn complaints into loyalty, it shows how the right mix drives discoverability and builds trust. Pro tip: automate the basics so your creative energy goes into engaging with customers and shaping the story your reviews tell.

Advisor’s Corner

From Hanna Horvath, CFP® on White Collar Recession and Personal Finance Advice: This TikTok video.

(Edited for length and clarity.)

We are increasingly living through a white-collar recession. It is completely rewiring how people think about money, career, financial planning. Even if you are not actively job hunting, it’s very important to understand what’s happening right now. We’ve seen a freeze in the job market, especially around white-collar jobs. Companies aren’t hiring. They’re beginning to layoff. They’re touting how AI is going to lead to a smaller workforce. College grads especially are struggling to find jobs.

There’s generally this feeling of: “Okay, I’ve gone to college. I’ve gotten this degree. I was promised a more stable career.” And we’re just seeing that disappear or become so competitive that it’s just impossible to get ahead. And the reason it’s so important to understand what’s happening right now is that changes how people think about money, make decisions about money, and their general risk assessment.

I think most people’s risk assessment, when it comes to their careers, is vastly different than it was even 3 years ago. The idea of going to college—getting a steady paycheck that a lot of us once believed—that underlies a lot of personal finance advice. And, if that starts to break down, that completely changes how people approach their money.

It’s hard for you to plan a long-term financial future when you don’t think your industry will exist in 5 years, for example. I think that’s why we’re seeing this rise of people making a lot more short-term financial decisions because long-term planning feels pointless to them. We’re seeing people hoard cash. We’re seeing people take these really big financial risks through day trading, side hustles, and crypto. Because these safe career paths no longer feel safe. All of this, whether you’re laid off or not, has a lot of people thinking about their relationship with value and work and identity. I think a lot of people are losing faith in this idea of working hard, getting a really good education, and then being set for life. That contract has broken down. That framework used to drive people’s financial behavior for the past few decades—what happens when that belief completely disappears?