Nucleus snaps up Third Financial to expand adviser platform

By Gloria Methri

Nucleus Financial Platforms, one of the UK’s largest adviser platform groups, has announced the acquisition of Third Financial.

Third Financial is an investment platform and front-to-back wealth management software provider, serving discretionary wealth managers, multi-family offices, and adviser consolidators.

The business has delivered strong organic growth in recent years, with revenue increasing by more than 30% in 2023. It has over 50 clients in the UK with £6 billion of assets under administration on its platform and a further £40 billion of assets administered via its software system, Tercero.

The acquisition will enable Nucleus to extend the platform solutions it offers advisory firms of all sizes. As well as the existing retail retirement platform and specialist SIPP and SSAS products, Nucleus will benefit from Third Financial’s proprietary technology, enabling an enhanced ‘adviser-as-a-platform’ proposition to meet the needs of larger businesses that want to offer their platform.

The combination with Third Financial is fully aligned with the group’s strategic ambition of building scale and capability through organic growth and compelling acquisition opportunities. Upon completion, the group’s platform AUA is expected to be circa £90 billion.

Richard Rowney, Chief Executive Officer of Nucleus, said, “We are delighted to announce the acquisition of Third Financial. By combining our scale, expertise and relationships, with their innovative technology, we will be able to offer a broader proposition to serve the needs of wealth managers and advisory businesses across the sector.

“We have long admired the team that Ian has built at Third Financial and what they have achieved. Their focus on innovation and client centricity has differentiated their business, establishing them as one of the leading investment platform providers, and they will be a great addition to our group.”

Ian Partington, Group Chief Executive of Third Financial added, “A crucial factor in the decision to join Nucleus is that we feel very culturally aligned. Delivering excellence for our clients has always been core to our success, and in the Nucleus team, we found that quality fully reflected. Now with our combined expertise and resources, we can deliver even more to existing and future clients both in terms of products and services. Collectively our focus will remain on running a stable and profitable expanded service, continuing to support clients so they can deliver great outcomes for their customers.”