Mercer Global Advisors Inc. ("Mercer Advisors"), a national Registered Investment Adviser (RIA), has acquired AL Hewitt Inc., a respected comprehensive wealth management firm in Camarillo, California serving approximately 120 clients with assets under management (AUM) of $100MM. Hewitt also operates a tax return preparation business preparing over 4,000 tax returns annually, with all financial advisory clients also receiving high quality tax advice with tax return preparation. Hewitt presents a strong value proposition by delivering integrated tax, investment management, and financial planning to its clients.
The addition of Hewitt augments Mercer Advisors' already strong presence in California to nine offices serving approximately 3,200 clients with nearly $5 billion in AUM, making Mercer Advisors one of the largest RIAs in California alone. The Hewitt acquisition brings Mercer Advisors' total offices to 45 and increases Mercer Advisors' total AUM to approximately $17 billion.
Alan and Josette Hewitt, both CFP™ and Enrolled Agents (EAs) founded A.V. Tax and Business Services, Inc. (Tax Practice), in 1990. Alan Hewitt founded AL Hewitt, Inc. a fee-only Registered Investment Advisory firm in 2006. Hewitt focuses on delivering comprehensive financial planning and integrated tax advice to their high net worth clientele.
Dave Welling, Chief Executive Officer of Mercer Advisors said, "Alan, Josette and the entire Hewitt team are a great fit for Mercer on multiple levels. They share our conviction in delivering a truly comprehensive solution to our clients including financial planning, investments, tax and estate planning. The Hewitt team deepens our significant presence in California as well as our tax expertise. We look forward to serving all of Hewitt's clients for years to come."
Commenting on the transaction, Alan and Josette Hewitt stated: "We had lots of interest in our firm; there was no shortage of potential buyers. After meeting with Dave Barton, Mercer Advisors Vice Chairman heading up mergers and acquisitions, the choice was clear – Mercer Advisors was the perfect fit for us. Dave Barton addressed all our questions and concerns including painting an exciting picture of what the future holds for our team and clients. Succinctly, I had three primary deal criteria and the firm that best answered those questions (and verified through due diligence) would be our new partner. First, we had to share the same business values and put clients' interests first. Second, the purchase price and terms needed to be fair and competitive. Third, my staff would not only be taken care of but also have career path opportunities beyond what I could offer. Dave Barton addressed each of these three criteria (among many other questions) and Mercer Advisors passed my test with flying colors. We couldn't be more excited to be joining the Mercer Advisors team."
David Barton, added, "Alan, Josette, and son Alan "Charles" Hewitt, CFP™, ChFC, EA, and their seven (7) other team members are huge additions to Mercer Advisors. We did not only add three quality CFPs to our already deep financial planning bench, but also will significantly scale up our tax division. Alan and their operations manager, Ali Mroue have done a marvelous job of building highly efficient work flows with supportive systems and processes that allow Hewitt to process over 4,000 tax returns annually and that turnkey process will create even greater scale and further leverage our already ample tax consultancy and tax return preparation business. Our family office business model, launched in 2013, has been a huge success and allows Mercer Advisors to stand out in a crowded RIA market and this uniqueness set us apart from other buyers and made Mercer Advisors the right fit for Hewitt. The value add of providing in-house estate planning, tax return reparation, and corporate trustee advisory services allows our clients to receive fully integrated financial care with different subject matter experts working together – side by side - to provide best in industry advice and results for our approximately 12,000 clients nationwide. Hewitt's RIA and Tax practice seamlessly integrates into our business model and provides significant lift to our tax capability. This transaction is a great outcome for all parties."