BluePath Capital Management is a financial advisor firm based in Atlanta, and it’s solely licensed to conduct business in the state of Georgia. BluePath primarily serves individual investors without a high net worth, though it does have some high-net-worth individual clients as well.
This is a fee-based firm, which means that some of the on-staff advisors here can earn commissions from the sale of certain insurance products or securities. This differs from a fee-only firm, which is any one that earns all of its income from the fees that clients pay.
BluePath Capital Management Background
BluePath Capital Management was established in 2016 by David Nicholas, who remains the firm’s principal owner and president. Nicholas got his start in the financial advisor industry in 2005, and he holds a Masters degree in financial planning from the University of Georgia.
BluePath Capital Management’s Affiliated Firm: Nicholas Wealth Management
Prior to founding BluePath Capital Management, David Nicholas opened Nicholas Wealth Management in 2008. This firm provides services like retirement income planning, asset protection planning, wealth accumulation planning, retirement account rollovers, estate planning, trust management and probate planning.
Although Nicholas Wealth Management is technically a separate entity from BluePath Capital Management, its investment advisory services are offered through BluePath. In other words, BluePath’s proprietary investment research and expertise is what drives the majority of Nicholas Wealth Management’s offerings.
BluePath Capital Management Client Types and Account Minimums
Most of the client base at BluePath Capital Management is comprised of individuals without a high net worth. However, the firm also works with some high-net-worth individuals too.
The minimum account size is $250,000
Services Offered by BluePath Capital Management
BluePath Capital Management offers a number of services, most of which are related to portfolio management and financial planning. Its offerings include:
- Portfolio management
- Personal investment policy creation
- Risk tolerance determination
- Investment strategies
- Asset allocation
- Asset selection
- Regular portfolio monitoring and rebalances
- Third party investment management
- Financial planning
- Investment planning
- Retirement planning
- Tax minimization
- Life insurance and risk management
- College fund planning
- Debt/credit planning
- Specific investment type advice regarding:
- Mutual funds
- Exchange-traded funds (ETFs)
- Fixed income securities
- Real estate investment trusts (REITs)
- Hedge funds
- Private equity funds
- Inflation-linked bonds
- Non-U.S. securities
- Venture capital funds
- Private placements
BluePath Capital Management Investment Philosophy
BluePath Capital Management does not implement a singular investment strategy. Instead, it combines parts of five different strategies to meet clients’ unique needs. These five strategies include long-term trading, short-term trading, margin transactions, options transactions and short sales.
Even though the firm is generally focused on generating long-term returns for clients, it does engage in some short-term strategies. This is usually done to increase a portfolio’s liquidity, which can be beneficial for clients who require cash at a moment’s notice.
Fees Under BluePath Capital Management
BluePath Capital Management has two distinct fee schedules: one for its wrap fee program and another for its non-wrap portfolio management service. The wrap fee program rolls all fees for the firm’s services and other additional charges into a single, holistic rate to simplify clients’ costs. Wrap fees are charged every month. The firm determines clients’ exact monthly fees based on the value of their assets under management on the last day of the previous month.
|Wrap Fee Programs|
|Total AUM||Annual Fee|
|Up to $500,000||2.00%|
|$500,001 - $1,000,000||1.85%|
|$1,000,001 - $2,000,000||1.50%|
While the annual rates for BluePath’s non-wrap portfolio management services are lower, this rate does not include account transaction costs, trading costs and other miscellaneous charges like the wrap fee program does. All portfolio management fees are charged to clients’ accounts on a monthly basis.
|Non-Wrap Portfolio Management Fees|
|Total AUM||Annual Fee|
|Up to $1,000,000||1.50%|
|$1,000,000 - $3,000,000||1.25%|
|$3,000,000 and up||1.00%|
BluePath does charge performance-based fees for some client accounts. These clients are charged an annual fee of 1.00% of assets under management, as well as a 20% performance fee based on capital appreciation. This fee only applies to any growth beyond what the firm calls your portfolio’s “high water mark.” This is defined as the highest value of your AUM at any given time. For example, if your account performs so well that it reaches a record high, you’ll be charged a 20% performance-based fee on the difference between your new and old high water mark.
The firm charges hourly fees for its financial planning services. Rates are negotiable and range between $250 to $1,000 per hour.
What to Watch Out For
Note that BluePath Capital Management is a fee-based firm, which means that some of its advisors do have an opportunity to receive commissions when they sell certain insurance products or securities to clients. Although this represents a potential conflict of interest, the firm is a fiduciary, meaning it is legally bound to act in your best interest at all times.
BluePath Capital Management does not have any disclosures listed in its SEC-filed Form ADV.
Opening an Account With BluePath Capital Management
Stop by BluePath Capital Management’s office in Atlanta if you’re interested in working with the firm. Try setting up an appointment by calling (404) 890-5606 or sending an email to email@example.com.
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