NewEdge Advisors scoops up RIA with $6B in assets

NewEdge Capital Group is adding to its RIA division with the purchase of an advisory firm with $6 billion in assets.

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Stonegate Investment Group, a 13-person team in Birmingham, Alabama, joined NewEdge Advisors in December. Stonegate is now part of the firm’s Pillar Channel, a division started in 2023 for advisors who want to work as direct employees of NewEdge Advisors, rather than independent contractors.

Stonegate is the largest advisory group to join the Pillar Channel. It now has 14 advisory teams and roughly $14 billion in client assets.

“Our Pillar Channel affiliation ensures that a transaction doesn’t change the continuity and quality of service for clients,” NewEdge Advisors CEO and co-founder Alex Goss said in a statement. “Through a meticulous process, we provide monetization for advisors while preserving cultural and philosophical alignment. Too many competitor transactions fundamentally change or throw away what made advisors and their clients successful in the first place.”

New Orleans-based NewEdge Advisors is the independent contractor division of NewEdge Capital Group, which also includes the separate RIA NewEdge Wealth and the broker-dealer NewEdge Securities. NewEdge Capital Group is, in turn, owned by EdgeCo Holdings, which receives backing from the private equity firm Parthenon Capital and Waterfall Asset Management. NewEdge Capital manages about $88 billion in client assets through its three subsidiaries and has more than 450 advisors and registered representatives, according to its website.

NewEdge has been adding quickly to its RIA channel in recent months. In February, the firm announced it had recruited Seven Bridges Wealth Advisors, a 14-member team formerly at Ameriprise. Seven Bridges had managed roughly $1 billion in client assets in White Plains, New York.