Wealth management firm ICG Next has left LPL Financial to join Osaic, an independent broker-dealer. The New Jersey-based firm, led by Managing Partner James Costabile, oversees $2.3 billion in client assets and includes 21 financial advisors, along with client service and operations staff. Costabile, who had been an advisor with Ameriprise for about 16 years before moving to LPL, brings extensive experience to the firm, according to BrokerCheck.
Since its launch in 2019, ICG has nearly tripled in size, a growth trajectory Osaic highlighted. The firm plans to expand further through advisor recruitment, acquisitions, and organic growth, leveraging its successful model.
Osaic’s Personal Touch Attracts Advisors
Osaic’s president, Shannon Reid, has been working to attract advisor teams by offering a personal experience combined with the resources of a large firm. Reid, who joined Osaic after 18 years at Raymond James, believes this approach was key in ICG’s decision to join Osaic. At Raymond James, she most recently served as president of the independent contractor division, bringing deep industry expertise to her role.
Reid has focused on building a large advisor service team to ensure advisors receive timely support. She emphasizes the importance of relationships and services as key differentiators in the industry. Despite Osaic having about twice the number of advisors compared to her previous role, Reid has staffed a service team that is three times larger, ensuring advisors can access help when needed.
Osaic, owned by Reverence Capital, has been working to retain and attract advisors following its 2023 rebranding and integration of eight affiliated broker-dealers, a process known as the “Journey to One.” This initiative aimed to unify the firm’s technology stack and present a cohesive organization, which Reid believes is a significant draw for advisor teams like ICG.
Competing with Large Firms and RIA Consolidators
Reid believes Osaic can compete with both large independent broker-dealers and RIA consolidators. She argues that RIA consolidators often limit advisors’ independence, despite their claims, as they typically own the assets and restrict advisors from taking clients with them when they leave.
Meanwhile, LPL has been actively recruiting, reporting a 35% year-over-year increase in recruited assets in the second quarter and a 47% quarter-to-quarter increase. Osaic has also been attracting advisors from Commonwealth Financial Network, which LPL acquired last year, further intensifying competition in the space.
About the Author: Alex Ortolani is a New York-based senior reporter with Wealth Management, focusing on deals, moves, and trends in the registered investment advisor space. In addition to financial and business reporting, he has worked in media relations and corporate communications for tech firms and Fortune 500 companies, bringing a diverse perspective to his coverage.