“It’s not a lot of fun to be a broker-dealer these days,” says firm chairman John Burroughs
May 10, 2016 @ 11:34 am | By Bruce Kelly | Investment News
Foothill Securities Inc., an adviser-owned independent broker-dealer with 220 registered reps under its roof, is in “serious discussions” to be acquired by a larger firm, according to its chairman, John Burroughs.
Four firms currently in discussion with Foothill include: LPL Financial, Cambridge Investment Research Inc., Securities America Inc. and SagePoint Financial Inc., Mr. Burroughs said.
The discussion of merging Foothill Securities with another firm comes at a time of when the common wisdom in the securities industry is that small- and mid-sized broker-dealers such as Foothill are facing extinction-like pressures.
I have been in the financial services industry for 20 years and our firm provides an education platform that gets clients to “think differently” about their financial picture. For many years we have communicated to clients the need to diversify their portfolios using alternative asset classes and more specifically, private non-traded investments. Due diligence on these types of financial vehicles is essential and when I learned about Blue Vault in 2010, our firm immediately began using their material as a tool to build confidence in the minds of our advisors on which alternatives to recommend to clients. I am impressed with the way Blue Vault continues to add value to their subscribers and I view their publication as a tremendous resource in today’s complex world.