Adviser business transformation firm Veracity has completed a management buyout from Macquarie.
The deal, completed for an undisclosed sum, gives directors at Veracity full control of the firm with effect from 24 January.
It follows Macquarie's announcement last year it was closing its UK wrap and Veracity business. Veracity will continue to be led by CEO John Baxter and COO Tim Crew.
"The completion of this buyout enables Veracity to continue to help businesses with their transformation journey, enabling them to be RDR-ready and prepared for the new challenges ahead in the adviser market post 2012," says Baxter.
Veracity helps financial adviser businesses make the transformation from a commission-based transactional model to a post-RDR fee-based service model. It uses the latent value trapped within a firm's legacy book to facilitate and pay for the transformation.
"Servicing legacy investments and pensions is the achilles heel of the existing advice sector in that it often suffocates the capacity out of a practice in exchange for little or no ongoing revenue," adds Baxter.
"Veracity helps advisers manage the potential conflicts of interests between what is best for the firm and what is best for their clients in tackling what for most firms will be their single biggest challenge ahead of the RDR."
Last November, Macquarie said it was closing both its UK wrap and Veracity transformation business. The Australian banking giant said it did not see a long term future for its wrap platform in the UK market.
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