Hanlon Investment Management works with thousands of clients, from individual investors to financial advisor firms and institutions. The firm oversees more than $700 million in assets under management (AUM).
Most of the firm’s clients are non-high-net-worth individuals. Read on to learn more about this financial advisor firm based in Egg Harbor Township, New Jersey.
Hanlon Investment Management Background
CEO Sean Hanlon founded the firm in 1999. It then became a registered investment advisor (RIA) in 2002. Hanlon began his career in the financial services industry in the late 1980s and previously worked for Merrill Lynch.
Hanlon Investment Management Client Types and Minimum Account Sizes
Hanlon Investment Management works with individuals, investment companies, pension and profit-sharing plans, trusts, estates, charitable organizations, corporations and business entities.
To establish and maintain investment management services, you generally need a minimum account size of $50,000. Hanlon Investment Management may keep smaller accounts depending on specific factors such as anticipated future earnings capacity.
Services Offered by Hanlon Investment Management
Hanlon Investment Management designs and builds diversified portfolios on behalf of its clients. These are tailored to the client’s individual investment goals, risk tolerance and other factors. The firm also provides investment management services to mutual funds and may recommend these funds to individual clients.
Addittionally, the firm provides advice regarding variable annuities and variable life insurance products. It also serves as a fiduciary to qualified retirement plans such as 401(k)s under the Employee Retirement Income Security Act (ERISA). In this capacity, the firm helps the plan sponsor choose a qualified default investment alternative and manage participant accounts.
Hanlon Investment Management Investing Philosophy
Hanlon Investment Management’s investing strategy seeks risk-adjusted returns. It evaluates investments by engaging in a combination proprietary technical, quantitative and volume analyses.
Following a daily tactical analysis of the markets, Hanlon Investment Management examines the available fund styles to determine which are performing best on a risk-adjusted return basis. It turns to the highest ranking when building investment portfolios for its clients.
Hanlon Investment Management also takes into account factors like the client's risk tolerance and overall investment goals. The firm primarily utilizes or recommends the following security types:
- Individual stocks
- No-load mutual funds including those managed by Hanlon
- Exchange-traded funds (ETFs)
Fees Under Hanlon Investment Management
The firm charges annual investment management fees based on a percentage of the market value of the client’s assets under management. The firm provides the following fee schedule for investment management services:
|Account Value||Asset Based Fee|
|Up to $499,999||1.80%|
These annual fees are prorated and paid quarterly in advance. They are applied to the market value of the account on the last day of the previous quarter.
Note that this schedule applies to the firm’s investment advisory fees only. They are separate from brokerage commissions, transaction costs and other expenses your account may face. These other expenses are generally not paid to Hanlon Investment Management, but to the brokerage firm.
What to Watch Out For
Some of Hanlon Investment Management’s associates may earn 12b-1 fees from mutual fund companies when it recommends them to clients. This arrangement presents a conflict of interest. Additionally, Hanlon advises certain mutual funds and may earn a dual fee when clients invest in them. Hanlon is obligated to tell clients about its conflicts of interest, but you should also review the fund prospectus for more information.
Within the past 10 years, Hanlon Investment Management has not undergone any disciplinary or legal events that would be material to a potential client’s evaluation of the firm’s business. For the latest details, you can access its publicly available Form ADV document through the website of the Securities and Exchange Commission (SEC).
Tips for Finding the Right Financial Advisor
- Make sure you ask candidates about their training. Believe it or not, you can be an advisor without any. Some will say they learned on the job, while others will have gone through special training and testing to earn their stripes. Additionally, some credentials, like a certified financial planner (CFP), must uphold certain standards to keep their certification.
- Personalize your search by using SmartAsset's advisor matching tool. It connects you with up to three local financial advisors, based on your answers to our questions.
All information was accurate as of the writing of this article.