Marketing Info

Dynasty Financial Partners Files For $100M IPO

Dynasty Financial Partners, a St. Petersburg, Fla.-based services platform for independent advisors, has filed this week with the Securities and Exchange Commission for an initial public offering. In a preliminary registration form filed Wednesday with the SEC, Dynasty said it expects to raise $100 million and plans to list its Class A common stock on the NASDAQ Global Market under the symbol “DSTY.”

Dynasty was founded in 2010 by President and CEO Shirl Penney and co-founder and Chief Operating Officer Edward Svensson, with the goal of helping individual advisors become independent and help them launch their own RIAs. was to provide a service platform.

Dynasty has since grown into a platform serving 46 partner firms, representing 292 financial advisors with average assets under administration of $221 million as of September 30, 2021. The firm had $68 billion in assets under administration as of September 30, 2021, up 40% from a year earlier. Dynasty reported revenue of $49.2 million on net income of $10.6 million for the first nine months of 2021, up from $32.7 million and $2.9 million, respectively, for the same period of 2020.

The firm provides core services to its partner firms, which include technology and business solutions, as well as finance, marketing, investment, compliance and practice management. According to the filing, 54% of the firm’s revenue comes from the core offering of middle and back-office business services to firms in the network. Partner firms can also outsource their investment management capabilities using Dynasty’s own turnkey asset management platform (TAMP), which accounts for 19% of the firm’s revenue. The rest of the revenue comes from financial services for the partner firms.

“For over a decade, we have supported the benefits of independent wealth management for HNW and UHNW individuals and contributed to the asset movement from traditional brokerage channels to independent channels of asset management,” said Dynasty’s Form S – 1 said. “Our firm is focused on meeting the needs of wealth advisory firms throughout their life cycle. This provides us with an in-depth understanding of the needs and challenges that our clients face and enables us to offer highly attractive products to meet their needs. and make us well positioned to develop solutions. This deep understanding is built not only through our standalone operating history, but through the long-term experience of our management team. Our strong relationships with our customers The average customer attests by tenure of more than four years.”

The firm is continuing to hire new partner firms, including the addition of four new RIAs, representing 22 advisors and $1.7 billion in assets, in the first nine months of 2021, the filing said. Dynasty added two other partner firms in late 2021.

The filing said Dynasty continues to increase the network’s use of its capabilities and launches additional capabilities. For example, a few years ago, Dynasty created its Capital Strategies division, offering a variety of financing solutions and capital options to help partner firms grow.

The filing said the company is also considering acquisitions to help build out its technology stack and offerings. For example, the firm recently announced that it has teamed up with Market Council to make a strategic investment in SmartRIA, a regulatory and compliance technology platform for RIAs. Dynasty will deploy the SmartRIA Pro platform across its network firms.

Goldman Sachs, JP Morgan, Citi and RBC Capital Markets are joint bookrunners on this Presentation. DA Davidson & Company, Keefe, Bruett & Woods, a Stifel company, and Maxim Group are co-managers on the deal.

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