Capital Wealth Planning (CWP) is a Naples, Florida-based financial advisor firm. The firm's small team of financial advisors is responsible for the indirect management of billions of dollars in assets under management (AUM). CWP focuses on offering sub-advisory services through separately managed accounts (SMAs) to various wealth management platforms of broker-dealers and other firms. Through these programs, this firm works with a number of individual and institutional clients.
As a fee-only firm, CWP only receives advisory fees directly from its clients. This avoids the kinds of conflicts of interest you'd see at a fee-based firm, which can also receive sales commissions.
Capital Wealth Planning Background
Capital Wealth Planning was established in 2005, but only began offering investment advisory services as a registered investment advisor (RIA) in 2009. The firm's founder and chief investment officer (CIO) is Kevin Simpson, who has decades of wealth management experience. Simpson and JoAnna Irons own the firm today.
The firm employs three chartered financial analyst (CFA). CWP provides a significant portion of its services through sub-advisor arrangements.
Capital Wealth Planning Client Types and Minimum Account Sizes
Through affiliations with outside firms, CWP's services are utilized by a wide range of clients. The majority of these clients are individuals without a high net worth, though high-net-worth individuals, charitable organizations and businesses also take advantage of what CWP has to offer.
This firm requires a different minimum investment requirement for each of its main services. They go as follows:
- ETF Hedged Covered Call Portfolio: $100,000
- Enhanced Dividend Income Portfolio: $250,000
- Tactical Transition Portfolio: $1,000,000
Services Offered by Capital Wealth Planning
The scope of services offered by Capital Wealth Planning is relatively limited, as it does not provide any financial planning services. This is because the firm focuses on investment management through its SMAs and other institutional offerings. These services are available to third-parties via a sub-advisory relationship with CWP. In fact, its SMAs include:
- Enhanced Dividend Income Portfolio
- Focuses on high-quality and blue-chip stocks throughout 10 S&P 500 sectors
- Delivers income through tactically timed short-term covered calls
- ESG Enhanced Dividend Income Portfolio
- Includes growth and value stocks from the DOW 30 and S&P 100 that typically provide strong dividends
- Hedged Exchange-Traded Fund (ETF) Covered Call Portfolio
- Features 6-11 ETFs across various sectors, such as fixed-income, equity, global and hedging
- Uses covered call writing portfolio yield enhancement
Capital Wealth Planning Investment Philosophy
All of Capital Wealth Planning's investment management and advisory services can be tailored to meet the individual needs of clients. To do this, the firm obtains information about each client's financial circumstances and condition, income and tax status, personal and business assets, risk profile and investment needs and objectives. The firm also ensures that all of this information is updated on at least an annual basis.
When evaluating potential and current investments for client portfolios, the firm tends to use fundamental, charting and technical methods of analysis. The firm also typically uses a variety of publically available information sources to help with research. When it comes to investment strategies, the firm may utilize long- and short-term purchases, trading, short sales and option writing.
Fees Under Capital Wealth Planning
Fees for investment management services at CWP are charged as a percentage of a client's total AUM. Depending on factors such as the scope of the services requested or how much in AUM a client has, these fees may be negotiable, though they'll never exceed 1.75% annually. Fees are calculated and billed on a quarterly basis, in arrears.
What to Watch Out For
Capital Wealth Planning has no disclosures on its SEC-filed Form ADV, giving it a clean legal and regulatory record.
Opening an Account With Capital Wealth Planning
Opening an account with CWP involves going to the firm's website, scrolling to the bottom of the page and submitting a contact form. If you prefer to work over the phone, feel free to call the firm at (239) 593-2100.
All information is accurate as of the writing of this article.
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