The acquisition of Shape financial is the 14th acquisition by the company since its IPO in June 2011.
Alan Hudson, chairman and chief executive of AFH, said: "Today's acquisition further advances our successful strategy of growing the Company both organically and through select and well-timed acquisitions.
“Importantly Shape Financial is a strong cultural fit for AFH and their Somerset outpost provides a platform from which the company can extend its reach into the South West region."
Shape Financial is an FCA authorised, Somerset-based IFA which reported a turnover of £1.5m in its most recently completed financial year.
The acquisition brings 16 new advisers, including all 5 shareholder directors of Shape Financial, to the company's current total of 104 advisers.
The new advisers will continue to operate out of Shape Financial's Somerset-based office, broadening AFH's presence into the South West of England.
