RECM acquires WellsFaber

09 June 2014 Jan van Niekerk, RECM

RECM Holdings, the holding company of privately owned, global value manager, Regarding Capital Management (RECM), has acquired independent financial services company WellsFaber. Together with international auditing and accounting firm Mazars, WellsFaber is also a co-owner of Mazars Financial Services Cape Town.

RECM has acquired a 70% stake in WellsFaber, and will purchase the remaining 30% of the business in two equal tranches in four and five year’s time. Current directors Ray Faber, Niel Krige and Ian Morris will remain shareholders until such time. Chairman of RECM, Piet Viljoen and RECM CEO, Jan van Niekerk, will join Faber and Morris on the Board of WellsFaber as non executive directors, with Niel Krige as Chairman.
According to Jan van Niekerk, the significant growth of the RECM brand over the recent past has resulted in an increasing number of direct enquiries from investors seeking financial advice. "RECM is an asset manager and not an advice led business. We had not been equipped to provide this type of service. Our transaction with WellsFaber now provides us with a trusted partner to enhance our group’s service offering to clients. In this way we preserve the absolute focus and dedication of RECM, our asset management business, as a pure global value fund manager.
"It is important to reiterate that WellsFaber will operate completely independently from Regarding Capital Management, but shares the same principles and code of ethics that RECM has always adhered to. We have made it clear from our first discussions that WellsFaber is not seen as a potential referral source of Assets Under Management for RECM, but rather a method of always providing objective advice to its clients.”
Founder of WellsFaber, Ray Faber, says that through joining the RECM group, the longevity of WellsFaber has been secured and the business will continue to provide sound advice to clients for many years to come. "RECM and its owners are of the firm belief that financial advice is best provided in an objective and impartial manner. WellsFaber will therefore continue on a standalone basis, but with the full backing of the RECM Group. As our client’s needs evolve we now have the opportunity to expand the services we offer.
"I regard this acquisition as the most exciting development at WellsFaber in recent years. The additional complement to our Board of Directors provides our clients with access to an extraordinary depth of financial, professional and business acumen, spanning many years of experience. Inter alia, our Board now comprises three actuaries, and provides WellsFaber with significantly increased direct access to highly respected fund management capabilities” added Faber.
Van Niekerk says that RECM will actively support the growth of WellsFaber and Mazars Financial Services through the recruitment of a new management team at WellsFaber as well as a number of financial advisory professionals. "This will comprise of high caliber individuals who will familiarise themselves with the duties of both Ian Morris and Ray Faber over an extended period, in such a manner that client comfort and confidence in WellsFaber will be undiminished.”
Viljoen says "As market regulation increases, the value of independent, good quality financial advice also increases. This is exactly what WellsFaber has been providing to its clients, and we aim to expand on the firm’s ability to provide this service to many more clients.”

Quick Polls


The shocking crime and motor vehicle accident statistics shared during a recent SHA presentation suggests that group personal accident and personal accident cover are a no-brainer. Do you agree?


Not sure
fanews magazine
FAnews April 2024 Get the latest issue of FAnews

This month's headlines

FAIS Ombud lashes broker for multiple compliance blunders
TCF… a regulatory misfit initiative?
The impact of NHI on medical malpractice insurance
Fixed versus variable: can you have your cake and eat it too?
The future world of work
Subscribe now