Sammons Financial Group to Acquire Beacon Capital Management
“Sammons Financial Group has a long track record of success in organic growth in its financial services offerings. That focus will only continue as the addition of Beacon Capital Management will accelerate our efforts in the RIA channel,” said Esfand Dinshaw, chief executive officer, Sammons Financial Group. “This move complements our existing business lines and our work to build partnerships with other registered investment advisors.”
Founded in 2000 — and with more than $3 billion of assets under management – Beacon Capital Management provides long-term investors with portfolio management solutions focused on capturing market gains while limiting losses from inherent market volatility via its proprietary stop-loss strategy.
“This combination is a win-win, as both Beacon Capital Management and Sammons Financial Group have similar retirement income philosophies. Combined, our strong product offerings will help clients fulfill a comprehensive retirement strategy – from insurance through investment,” said Chris Cook, president and chief investment officer, Beacon Capital Management. “I look forward to focusing on Beacon’s continued growth, while simultaneously investing more time in doing what I love — meeting with advisors and delivering value to clients.”
“The purchase allows Sammons Financial Group to further grow into a specific retirement market segment — one that aligns well with our current business model in life insurance, annuities, and retirement planning solutions,” said Rob TeKolste, president, Sammons Independent Annuity Group. “In 2020, we concentrated on developing products and building channel partner relationships.”
With more than $114 billion in GAAP assets, Sammons Financial Group is a diversified financial services organization with a long history of leadership in the life insurance and retirement marketplace. The Sammons Financial Group insurance companies emerged from 2020 with more than $10 billion in total premiums.
“This acquisition will expand both Sammons Financial Group and Beacon product and strategy solutions for all of our financial advisors,” said Bill Lowe, president, Sammons Institutional Group. “The retirement marketplace continues to grow. Many of our current distribution partners work extensively with Beacon to provide comprehensive wealth management solutions for clients. This transaction allows us to leverage our combined resources, strength, and stability to help Beacon’s talented team excel.”
Beacon Capital Management will continue to operate as it currently does in serving its advisors and clients, yet will do so with the backing of a strong, stable market leader. Long term, the transition into Sammons Financial Group offers the opportunity for Beacon Capital Management to expand in its core market with the operational infrastructure and support of Sammons Financial Group’s 1,600 employees.
Cook will continue to serve as president and chief investment officer of Beacon while also joining the Sammons Financial Group senior management team to lead this new business line. Culturally, both companies are led by a defined set of core values that drive employee performance, industry leadership, and the building and servicing of partner and advisor relationships. The acquisition will provide Beacon with the resources necessary to build out new and more robust technology and service offerings — ranging from new account opening systems, advisor tools, and client portals.
“Our two businesses complement each other nicely, and the leadership teams feel additional growth opportunities and synergies will emerge over time,” said Dinshaw. “This is both an expansion of Sammons Financial Group’s offerings and an opportunity for Beacon to combine its strength with our strong, stable, A+ rated lines of business.”
The acquisition is expected to close early in the second quarter of 2021. All Beacon employees and contract wholesalers will become part of the Sammons Financial Group family of businesses. All advisor relationships — and investment strategies — will remain unchanged. The companies do not anticipate any changes in the service experience for the clients of Beacon Capital Management or its advisors.
Berkshire Global Advisors served as the exclusive financial advisor to Sammons Financial Group for the transaction. Terms of the agreement are undisclosed.
About Sammons® Financial Group, Inc.
The companies of Sammons® Financial Group, Inc. help families and businesses protect their future to enjoy life’s moments today. A subsidiary of Sammons Enterprises, Inc., Sammons Financial Group is privately owned with member companies that are among the most enduring and stable in the financial services industry. Our companies include Midland National® Life Insurance Company (including Sammons® Corporate Markets); North American Company for Life and Health Insurance®; and Sammons Institutional Group® (including Midland Retirement Distributors® and Sammons Retirement Solutions®). Together, we offer today’s most sought-after life insurance, annuity, and retirement planning products. Sammons Financial Group: With You for Every Moment®.
About Beacon Capital Management
Beacon Capital Management is a next-generation registered investment advisory (RIA) firm and turnkey asset management program (TAMP) dedicated to fundamentally improving the science of investing for fee-based financial advisors and institutions and the clients they serve. Beacon Capital Management was founded in July 2000 with the goal of providing long-term investors innovative portfolio management solutions that work to capture gains while seeking to limit losses from market volatility. In addition to investment management services, the firm seeks to empower advisors with turnkey marketing, operational and account management support. Estimated as of December 31, 2020, Beacon’s assets under management have grown to more than $3 billion. For more information about Beacon Capital Management, please visit BeaconInvesting.com or call 866.439.9093.
Additional information about Beacon Capital Management is also available on the SEC’s website at www.adviserinfo.sec.gov under CRD number 120641. Beacon Capital Management only transacts business in states where it is properly registered, notice filed or excluded or exempted from registration or notice filing requirements. Beacon Capital Management, Inc. is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Past performance is not indicative of future performance. Beacon Capital Management, Inc. (“BCM”) has been nominated for [and has won] several awards. BCM did not make any solicitation payments to any of the award sponsors in order to be nominated or to qualify for nomination of the award; however, a nominal application fee may be paid in some cases. It should be noted that the unaffiliated third-party rankings and awards are no guarantee of future success. These awards are not an endorsement of the adviser by any client or entity. Further details about the rankings and awards can be found at each sponsor’s website.