The Berkshire group of companies and TWC Group of Companies Inc. have announced plans to merge the two financial planning firms, subject to regulatory and shareholder approval.

The deal, once completed, would bring together over 1,000 independent financial advisors, and the administration of more than $10 billion in Canadian’s investment savings.

The merger represents a significant shift of power to independent financial advisors across Canada as the investment industry has witnessed the consolidation of independent investment dealers, the reduction in the number of independent planning firms, and an increase in pressure on advisors to sell proprietary products.

“We were very nervous about the loss of advisor independence that seemed to be occurring throughout the industry,” said Michael Lee-Chin, president of Berkshire.

Both TWC and Berkshire provide a full range of investment and insurance products and services to the clients of their independent advisors.

“When looking for a suitable strategic business partner to align our business model with, it was imperative that we selected an organization with whom our culture fit effortlessly,” said Tim Calibaba, president and chairman, TWC. “We believe that we have found our perfect partner and a natural fit for TWC with Berkshire.”

Under the deal, Lee-Chin will have a 75% interest in Berkshire TWC while the balance of the shares will be owned by Calibaba and other shareholders.