MDS to purchase boutique planning group
Listed back office investment services provider, MDS Financial Group, will purchase boutique financial planning group Sequoia Wealth Group (SWG) and rebrand all its entities under the latter's name.
MDS had already purchased Sequoia Financial Group (SFG), which owns a minority stake in SWG, in December last year and had brought across SFG's asset management, self-managed superannuation administration and specialist investments businesses.
MDS chief executive and managing director Scott Beeton said the purchase of SWG, which currently has seven planners and $150 million in funds under advice, as well as the recent acquisition of SFG would allow the renamed group to expand its offering into the retail financial advice sector.
MDS currently offers market data software, stock broking and online trading services alongside the recently purchased Sequoia business lines with Beeton stating they would all operate under the SFG banner, pending shareholder approval.
SWG will also move away from its current licensee — Financial Planning Services Australia — once it receives its own Australian financial services licence which is expected to occur in the second quarter of this year and is looking at expanding after claiming to have received expressions of interest from other financial advisers and stockbrokers.
The acquisition will be made in exchange for MDS scrip and along with the name change is subject to shareholder approval with an extraordinary general meeting to be held in April.
AUTHOR
Jason Spits
Recommended for you
As the end of the year approaches, two listed advice licensees have seen significant year-on-year improvement in their share price with only one firm reporting a loss since the start of 2025.
Having departed Magellan after more than 18 years, its former head of investment Gerald Stack has been appointed as chief executive of MFF Group.
With scalability becoming increasingly important for advice firms, a specialist consultant says organisational structure and strategic planning can be the biggest hurdles for those chasing growth.
Praemium is to acquire an advanced technology firm for $7.5 million, helping to boost its strategy to be a leader in AI-powered wealth management.
