Sequoia Financial and LJPR Financial Advisors Merge

The clients of both firms are largely individuals, primarily baby boomers, but Sequoia's clients have more assets per capita, especially among those with high net worth. Their assets average $30 million per capita compared with $2 million for LJPR, according to the firm's latest Forms ADV.

Sequoia has a total $4.1 billion in assets under management, 88% in discretionary assets, for 2,207 clients with just over 6,400 accounts as of July 4. LJPR has $776.1 million in AUM, all discretionary, for 1,230 clients with 3,108 accounts, as of March 30. Many of LJPR's clients are mass affluent, including police officers, firefighters and Ford Motor Co. employees.

Haught tells ThinkAdvisor that the new firm creates an "enormous opportunity" for advisors to become specialists in anything they want to do, including such goals as college funding. "The idea of specialization is important, providing better client results, but you need scale to do that."

He says he hopes the new firm will make more acquisitions. Sequoia has made five since 2009, including now LJPR, which both executives are calling a merger.

LaBrecque makes the point that if his firm was being acquired he would have taken the cash. Instead he's staying —  "I wasn't trying to get out" — and says he's committed to stay for a substantial period of time.

— Check out RIAs Are on a Hiring Spree: Survey on ThinkAdvisor.