By Andrew Welsch
Arax Investment Partners has acquired Schechter Investment Advisors, the registered investment advisory business of financial services firm Schechter.
SIA has $4 billion in assets under management as of May 28, according to the Birmingham, Mich.-based firm. Arax, which has $28 billion in assets under administration, didn't disclose terms of the transaction.
SIA joins Arax Advisory Partners, the company's network of independent firms focused on specialized services, investment advice and planning solutions for clients, Arax said. Schechter's Advanced Design Life Insurance business will remain a separate entity.
Haig Ariyan, CEO at Arax Investment Partners, says his firm was drawn to Schechter because of the firm's talent and focus on serving wealthy clients and their families. "Schechter and their team have exceptional capabilities in the alternative investment space," Ariyan said. "I'd also add they have strengths in multigenerational wealth planning. That stood out to us as another capability."
The acquisition boosts Arax's presence in the Midwest and adds to other acquisitions the firm has done since launching about two-and-a-half years ago. For instance, earlier this year Arax bought a Littleton, Colo.-based RIA that had $1 billion in assets. Arax is backed by private-equity firm RedBird Capital Partners, which also invests in sports and media businesses such as YES Network and Skydance Media.
In addition to acquisitions, Arax is also recruiting advisor teams to its Ashton Thomas unit. Last week, advisors Lance Millar and Stewart Preziose joined Ashton Thomas in San Francisco, the firm said. They were previously affiliated with SVB Private, a division of First Citizens Bank, and oversaw $900 million, according to Arax.
Ariyan says Millar and Preziose are the type of advisors that Arax is seeking to attract, and expects the company to continue its growth. "We're pleased with the progress we've made in 2.5 short years and are excited about the future," he says.
Write to Andrew Welsch at andrew.welsch@barrons.com
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June 02, 2025 08:00 ET (12:00 GMT)
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