Chicago RIA Vivaldi Capital Management has nabbed three new advisors.
The firm has hired Asha Goldstein and Dan Jones from fellow Chicago RIA Cedar Hill Associates and John Eberle from Taiber Kosmala & Associates, an investment consulting company.
The three new advisors are expected to bring over around $400 million to $500 million in assets, Vivaldi Capital Management president and co-chief investment officer Mike Peck said, which he estimated would bring the firm’s total assets under management to the $1.8 billion to $2 billion range. Vivaldi managed around $1.2 billion as of December 2018, according to a form ADV filed with the Securities and Exchange Commission (SEC).
‘Everything’s really about cultural fit. We’ve been growing organically very quickly since we started in 2012,’ Peck said.
MB Financial — Cedar Hill Associates’ parent company — did not respond to requests for comment, while a representative of Taiber Kosmala confirmed that Eberle had left the firm but provided no further comment.
All three new advisors at Vivaldi Capital Management joined the firm in December, 2018. Goldstein had been at Cedar Hill Associates since July of 2011, while Jones had been with the firm since January of 2008, according to their LinkedIn profiles. Eberle had been at Naperville, Ill.-based RIA Fiduciary Financial Partners from February 2011 until the middle of 2018, when he departed for Taiber Kosmala.
The three new hires boost Vivaldi’s advisor headcount from nine to 12 people.
Vivaldi Capital Management specializes in advising high-net-worth individuals and family offices. The firm also has a sister company, Vivaldi Asset Management, which offers five 40 Act mutual funds to retail investors, including a merger arbitrage fund.
The firm emphasizes investments into alternative vehicles such as private equity, hedge funds and real estate, running client assets in an approach similar to a university or nonprofit’s endowment, Peck said. He estimated that around half of the firm’s total assets are allocated to alternatives.
At the core of Vivaldi Capital Management’s business is a nine-person research team which does deep due diligence on managers of all shapes and sizes. Though every one of Vivaldi’s clients invests in a unique portfolio, the research team develops 18 ‘building block’ models for exposure to both alternatives and traditional asset classes such as equity and fixed income, Peck explained. An advisor can then select the ‘building blocks’ and adjust their allocations as needed depending on their client’s risk tolerance.
‘At the very surface of it, a proper allocation to each of those asset classes really protects you in a down market like we recently have had,’ Peck said. ‘That’s our philosophy. It’s really allocating appropriately to all the asset classes.’
Having a due diligence team willing to carry out hundreds of manager interviews — 750 in 2018– helps create a unique layout for incoming advisors, Peck explained.
‘We think our value proposition for an advisor coming on is: You’ve got great alternatives and solutions that you can bring to your clients that’s going to help you grow, while all still fitting within a planning-oriented, risk-return profile of an end client,’ he said. ‘So you’ve got both sides covered really well. I think that’s different from the majority of advisors out there.’