Based in Lady Lake, Florida, fee-based investment advisory firm Royal Fund Management (RFM) currently has hundreds of millions of dollars in assets under management (AUM). The firm offers a variety of advisory services through asset-based, hourly and fixed fees, and it has nearly 100 advisors managing more than 5,000 clients.
Royal Fund Management Background
RFM was founded in 2007 by Mark Royal Sorensen, who still principally owns the firm to this day. The firm specializes in investment, financial planning and retirement planning services, and it serves a wide range of individual and institutional clients.
Many of the firm’s advisors are located in different states and offer various qualifications. Among RFM’s team are certified financial planners (CFPs), registered financial consultants (RFCs), certified public accountants (CPAs), chartered life underwriters (CLUs), chartered financial consultants (ChFCs), retirement income certified professionals (RICP) and certified employee benefits specialists (CEBSs) and more.
Royal Fund Management Client Types and Minimum Account Sizes
RFM serves a client base almost entirely comprised of individuals with less than a high net worth. It also works with high-net-worth individuals, corporations and businesses.
The firm does not require clients to have a minimum initial investment for investment management services. However, if you want to subscribe specifically to the firm's options strategy, you'll need at least $100,000 in investable assets.
Services Offered by Royal Fund Management
Clients of Royal Fund Management will have access to the following advisory services:
- Portfolio management
- Investment strategy
- Asset allocation
- Asset selection
- Risk tolerance
- Portfolio monitoring
- Financial planning
- Investment planning
- Life insurance
- Tax concerns
- College planning
- Pension consulting
- Educational seminars/workshops
- Selection of advisors
RFM’s educational seminars cover topics such as risk tolerance, asset allocation, diversification and time horizon.
Royal Fund Management Investment Philosophy
Royal Fund says its mission is “quality service, teamwork and the quest for excellence.” In making investment decisions, the firm values diversification among assets, and it uses no-load mutual funds, individual equities and exchange-traded funds (ETFs). Its investment strategies include long-term trading and options writing, and the firm uses technical, cyclical and fundamental analysis to evaluate securities.
The firm mainly offers investment advice and/or management on bonds, mutual funds, equities, fixed income, debt securities, ETFs, real estate, real estate investment trusts (REITs), insurance products and government securities.
Fees Under Royal Fund Management
For investment advisory services, RFM charges asset-based fees which are paid quarterly in arrears. Clients utilizing the firm’s investment advisory services can also enroll in the firm’s Dividend Enhancement Overlay Strategy. RFM charges an extra 0.25% for this strategy. Below, we’ve listed RFM’s investment advisory fee schedules:
| Investment Supervisory Service Fees | |
| Total AUM | Fees |
| Under $100,000 | 2.00% |
| $100,000 - $1,000,000 | 1.50% |
| Above $1,000,000 | 1.25% |
| Option Strategy Account Fees | |
| Total AUM | Fees |
| $100,000 - $250,000 | 2.00% |
| $250,001 - $500,000 | 1.75% |
| $500,001 and above | 1.50% |
| Financial Consulting Fees | |
| Total AUM | Fees |
| $0 to $100,000 | 0.50% |
| $100,000 to $1,000,000 | 0.375% |
| Over $1,000,000 | 0.3125% |
RFM’s clients pay fixed or hourly fees for financial planning services. Depending on the client’s needs, fixed fees generally range from $250 to $5,000. The firm charges an hourly fee of $250.
Here's a breakdown of roughly what you can expect to pay for investment management services at RFM:
| *Estimated investment management fees do not include brokerage, custodial, third-party manager or other fees, which can vary in amount. | |
| Estimated Investment Management Fees at Royal Fund Management* | |
| Your Assets | Royal Fund Management Fee Amounts |
| $500K | $8,000 |
| $1MM | $15,500 |
| $5MM | $65,500 |
| $10MM | $128,000 |
What to Watch Out For
Royal Fund Management has five regulatory disclosures that all involve advisory affiliates of the firm.
RFM has independent advisor representatives (IARs) who are also registered as licensed insurance agents. While they may occasionally offer clients insurance products which pay commissions, RFM’s firm brochure says that no clients are required to purchase such products. However, the firm acknowledges that this can create a potential conflict of interest if these agents recommend or sell insurance products to clients. Nonetheless, RFM says it honors its fiduciary duty to act in the best interest of each client.
Opening an Account With Royal Fund Management
If you want to become a client of Royal Fund Management, you can call (352) 750-1637. If you'd rather have an in-person consultation, you can also stop by the firm's office in Lady Lake, Florida or use its website to find an advisor near you.
All information is accurate as of the writing of this article.
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