PE firm makes double acquisition to create UK wealth manager

Cairngorm Capital Partners has acquired robo-adviser Munnypot and London-based financial advice company Whitefoord for an undisclosed sum.

The acquisitions, which are subject to Financial Conduct Authority approval, will allow Cairngorm Capital to form financial advice and investment management group Verso Wealth Management.

Established in 2015, Munnypot provides an online investment service that delivers affordable and easily understood financial advice to individuals.

Whitefoord combines a discretionary investment management offering and financial advice to provide private clients, trusts and pension funds with a wealth management service. The firm is based in London with a team of 31 advisers, investment professionals and support staff.

The financial advice firm is the “cornerstone of a series of planned investments within the investment management and IFA space” and Verso “is in advanced negotiations with a number of bolt-on targets”, Cairngorm Capital said in a statement.

Creation of Verso WM

Verso Wealth Management “is actively pursuing an IFA consolidation strategy” and will be a “digitally driven wealth management group providing financial advice and investment management”, the firm said on its website.

Munnypot founders and ex-heads of Close Brothers’ wealth management division Andrew Fay and Simon Redgrove will lead Verso as chief executive and managing director, respectively.

Whitefoord chief executive Vince Whitefoord will join Verso’s executive team, leading its discretionary investment management business.

Warren Gee, Cairngorm Capital’s chief portfolio officer, joins Verso’s Board as a non-executive director. Gee was previously UK chief executive of FNZ.

Fay said: “Verso will make it far easier for advisers to maximise efficiency, reduce compliance risk and increase revenue. Our goal is to become the leading digitally driven IFA consolidator and there’s no limit to our ambition. We would invite any IFA firm that is interested in learning more, to contact us.

“We are really excited to be partnering with the team at Cairngorm Capital. They have invaluable operational and investment experience in the sector, which we look forward to drawing on. Together as partners, we will have the resources and the expertise to make Verso Wealth Management a very exciting business for IFAs to come and be part of.”