Kalos Management is a fee-based financial advisor firm with more than $262 million in assets under management (AUM) in some 3,000 accounts. Kalos Management's home office is located in Alpharetta, Georgia. The firm, which has 93 advisors, offers services such as financial planning and portfolio management.
Kalos Management Background
Kalos Management was founded in 1997 by co-founders Daniel Wildermuth (CEO) and Carol Wildermuth (CFO). They opened their doors to advisors in 2004. According to the firm's website, the name Kalos denotes something that is inherently "fair, right, honorable and of such conduct as deserves esteem." It has been ranked by Investment News as one of the Top Five Fastest-Growing Broker-Dealers (by representative count). Chrissy Lee serves as president and COO.
Kalos Management Client Types and Minimum Account Sizes
Kalos Management primarily advises individuals. In addition, they provide services to:
- High-net-worth individuals
- Pension and profit-sharing plans
- Charitable organizations
The firm generally requires a minimum account value of $50,000 as a condition for starting and maintaining an advisory relationship. The firm may accept clients with smaller portfolios at its sole discretion, and based on specific criteria. The firm also requires different minimums for participation in its wrap fee programs.
Services Offered by Kalos Management
Kalos Management offers investment advisory services to clients directly and through the referrals of third parties:
- Professional Investment Strategies - The firm's aim is to provide a variety of strategies to diversify the securities portfolios of clients.
- Affiliated Advisory Services - Portfolio assets that the firm manages are allocated within a mix of securities that may include equities, bonds, mutual funds, ETFs, interval funds and direct participation programs (DPPs).
- Investments Wrap Program and Private Wealth Management Wrap Program sponsored by Envestnet - The firm offers clients discretionary investment management.
Additionally, Kalos Management offers financial planning services, including any or all of the following: asset protection, tax planning, business succession, strategies for exercising stock options, cash flow, education planning, estate planning and wealth transfer, charitable giving, long-term care and disability planning, retirement planning, insurance planning and risk management.
It is important to note that the firm does not provide accounting or legal advice.
Kalos Management Investing Philosophy
The firm selects securities by implementing fundamental analysis and by reviewing independent research, news sources and rating services.
Kalos Management investment strategies may include long-term and short-term purchases and sales. Clients may place reasonable restrictions on the strategies to be employed in their portfolio and the types of investments to be held there.
Fees Under Kalos Management
Kalos Management calculates its fee based on the market value of the assets under management in the client account on the last day of the previous quarter. Clients may choose from wrapped or non-wrapped programs, with wrap pricing structures allowing them to pay an all-inclusive fee for management, brokerage, clearance, custody and administrative services (but which does not include mark-ups, markdowns or payment of brokerage commissions from transactions made by a broker-dealer other than Kalos Capital).
While Kalos is a fee-based investment advisor and generally avoids investments that charge the client a commission for their sale or purchase, clients who select non-wrap fee programs at Kalos Management pay separate transaction charges and commissions in addition to the advisory and administrative fees.
The industry average for account fees is 0.95%, according to a 2018 study of 1,500 firms by RIA in a Box.
The Kalos fee schedule for its traditional investments advisory investment services are as follows:
Affiliated Advisory Services - Traditional Investments
|Account Size||Maximum Account Fee|
|$0 - $999,999||2.75%|
|$1,000,000 - $1,999,999||2.10%|
|$2,000,000 - $4,999,999||1.80%|
|More than $5,000,000||1.55%|
Here is the estimated dollar amount you'd pay in advisory fees for Affiliated Advisory Services (for Traditional Investments) based on the size of your account:
|*Estimated investment management fees do not include brokerage, custodial, third-party manager or other fees, which can vary in amount.|
|Estimated Affiliated Advisory Services (Traditional Investments) Management Fees at Kalos Management*|
|Your Assets||Annual Fee Amount Charged on All AUM|
The firm's fee schedules for its alternative investments advisory services, as well as its private wealth management wrap fee services, are as follows:
Affiliated Advisory Services - Alternative Investments
|Account Size||Account Fee|
|$0 - $999,999||1.0 - 1.5%|
|$1,000,000 - $1,999,999||1.0 - 1.5%|
|$2,000,000 - $4,999,999||1.0 - 1.5%|
|More than $5,000,000||1.0 - 1.5%|
Envestnet Private Wealth Management Programs - Wrap Fee Schedule
|Account Size||Account Fee|
|$0 - $99,999||1.10 - 2.80%|
|$100,000 - $249,000||1.05 - 2.75%|
|$250,000 - $499,000||1.00 - 2.50%|
Kalos Management does not charge performance-based fees on any of its client accounts.
For financial planning services, the firm charges fees on an hourly charge ranging from $150-$500 per hour, with fixed fees ranging from $500-$10,000 per plan.
In general, Kalos Management fees are negotiable and vary depending on the complexity of the client situation and services to be provided. Learn more about advisors' typical costs here.
What to Watch Out For
Within the past 10 years, Kalos Management has not undergone any disciplinary or legal action deemed material to a client’s evaluation of its business integrity. You can view its latest Form ADV on the official website of the Securities and Exchange Commission (SEC).
Advisors at Kalos Management may also be broker-dealers. Employees acting in these non-advisor roles generally receive transaction-based fees, which can be a potential conflict of interest. That said, as an SEC-registered investment advisor, the firm is legally obligated to uphold its fiduciary duty and work in clients’ best interests at all times.
Opening an Account With Kalos Management
To open an account with Kalos Management, you can visit the firm's website or call (678) 356-1100.
All information is accurate as of the writing of this article.
Tips for Finding a Financial Advisor
- Interview at least three advisors before choosing one. This ensures that you have enough context about fees and investment strategies to make an informed decision. To find more advisors in your area, use our interactive financial advisor matching tool. It links you with up to three local pros.
- Ask candidates whether they adhere to the fiduciary standard of putting clients’ interests first. Yes is the ideal answer, of course. But they may follow a lower standard of providing only suitable recommendations.