According to DeVoe & Co., 2025 set a new record with 322 announced mergers and acquisitions transactions in wealth management, surpassing the previous high set in 2024. And the pace hasn’t slowed: The first quarter of 2026 alone saw a record 76 deals involving $167.1 billion in assets under management.

But for firms with no intention of selling, the headlines still offer an important lesson: The market is revealing what buyers consider a high-quality advisory business.

What Buyers Value

The firms attracting buyers—and commanding premium valuations—typically share a handful of traits. Valuation specialists point to factors such as durable organic growth, succession readiness, and reduced key-person risk as important drivers of enterprise value. In many cases, what buyers value most isn’t sheer size, but the sustainability and transferability of future cash flows.

Additionally, firms offering complex estate planning, tax optimization, and multigenerational wealth transfer capabilities can command stronger valuations, in part because those services are difficult to commoditize.

That distinction is becoming increasingly important as the industry confronts a massive intergenerational wealth transfer. Cerulli Associates estimates that roughly $84 trillion will change hands through 2045, with more than $72 trillion expected to pass to heirs. Retaining those assets will depend not just on investment performance, but on a firm’s ability to maintain relationships across generations.

Questions to Think About

This raises several questions every RIA might consider:

• Are client relationships institutionalized or concentrated with one advisor?
• Can another team member step in seamlessly if needed?
• Are workflows and service standards documented?
• Is growth driven by repeatable processes or primarily by the founder’s personal network?
• Is there a clear path for future leadership?

These are not queries reserved for firms preparing for a transaction. They’re questions about resilience.

Sellability as a Byproduct

In fact, “sellability” is often a byproduct of operational excellence. Firms that can survive leadership transitions, integrate younger advisors, and deliver a consistent client experience are generally better positioned to remain independent and pursue sustainable growth.

The AI Factor

One emerging dimension of the operational picture is AI. Firms that have integrated AI tools to reduce administrative drag, organize institutional knowledge, and support scalable service delivery are demonstrating stronger margins, a direct input to valuation.

It also raises a longer-term question about service positioning: as AI puts basic planning and investment management within reach of individual investors, firms competing primarily on those services face growing fee pressure. The firms best insulated are those that have built around complexity—advice that requires human judgment and deep client relationships.

The Bigger Point

Of course, not every RIA wants to be acquired. But every RIA benefits from building a business that can thrive beyond any one individual. The same qualities buyers reward also help firms scale, attract talent, and serve clients across generations.

In that sense, the M&A market isn’t just a story about consolidation. It’s a reminder that the characteristics that create enterprise value are often the same ones that create enduring businesses.

“We’ve been in easy financial conditions for years. As things get less easy, that will create some volatility in the marketplace—but we don’t currently see anyone calling for massive sell-offs.” 一Timothy Reilly, President

What the Sportsbook Knows About Your Balance Sheet

Thirty states have legalized mobile sports betting since 2018, generating more than half a trillion dollars in wagers. New York Fed economists decided to follow the money—not to the sportsbook, but to the credit report. What they found about household financial health in states that legalized versus those that didn’t is worth a few minutes of your time.