Venturi Wealth Management, LLC is a relatively new company, founded in 2015 by two former Merrill Lynch advisors. Despite being a newcomer, the company is comprised of industry professionals who havemore than 150 years of combined experience. While you’ll need at least $1 million to open an account with Venturi, many clients have much more. Almost 80% of Venturi Wealth Management’s clients are high-net-worth individuals.
Who Should Use Venturi Wealth Management?
While Venturi serves individuals, trusts, estates, charitable organizations, corporations and pooled investment vehicles, the company’s focus is on high-net-worth individuals. To work with Venturi, you need a minimum of $1 million. The firm’s services are tailored to serve those with significant wealth.
The firm has advisors located in Austin, where it's headquartered, and at its office in Oklahoma City. In addition to Texas and Oklahoma, the firm is registered in Nebraska and Louisiana.
What You’ll Pay in Fees
Venturi is a fee-based investment advisory firm. This means that the company makes money from a percentage of your portfolio as well as by selling products and earning commission. In Venturi's case, some of its advisors earn commissions for the sale of certain insurance products, though they maintain a fiduciary duty.
Venturi’s fees are tiered, similarly to many other firms. This means that you calculate the fee based on the different levels shown below. For example, if your portfolio is $7 million, the first $2.50 million is calculated at 1.00%, the next $2.5 million at 0.85% and the last $2 million at 0.75% for $61,250 total. You can see a full table of rates below.
|Venturi Wealth Management Fees|
|Portfolio Value||Fee Rate|
|Up to $2,500,000||1.00%|
|$2,500,001 - $5,000,000||0.85%|
|$5,000,001 - $10,000,000||0.75%|
|$10,000,001 - $25,000,000||0.65%|
|$25,000,001 - $50,000,000||0.60%|
The fees are depicted as yearly, but at Venturi you’re charged monthly in arrears. Note that there is a minimum $10,000 wealth management fee for all accounts.
For financial planning or consulting services for standalone engagements, Venturi charges a fixed fee or hourly rate. Generally, this will cost $1,000 and up.
The company also provides business advisory services at an hourly rate.
Clients are responsible for paying brokerage fees imposed by third parties. This includes brokerage commissions, custodial fees, margin costs, mutual fund or ETF charges and more. This means if trades are executed for your account, you are responsible for the associated fees.
What to Watch Out for with Venturi Wealth Management
Potential and current clients should note that the firm's team includes two licensed insurance agents. Though this could be a benefit to clients who need of insurance products, the firm's employees do sell these products on a commission basis. This could present a potential conflict of interest, as the employees will have a financial incentive to sell these products. However, clients of the firm do have the option to buy the insurance products that Venturi recommends elsewhere. Moreover, insurance commissions represent a very small percentage of the firm's total revenue.
As for fees, Venturi charges in the upper range for private wealth management. Compared to its Austin competitors, the company charges among the highest management fees.
Venturi Wealth Management Advisors: What to Know
While Venturi has about 15 employees, only nine of them serve in advisory roles. The team in Austin includes three certified financial planners (CFPs), which is an advanced designation that requires years of experience and ongoing certification requirements. Three are chartered financial analysts (CFAs), which is the certification most common at financial advisory firms. Two are certified investment management analysts (CIMAs).
Two employees are certified private wealth advisors (CPWAs), which is an advanced certification for wealth managers who advise high-net-worth clients. This isn’t a commonly held certification. Advisors must already be licensed as a CFA, CFP, CIMA, certified public accountant (CPA), chartered financial consultant (ChFC) or certified investment management consultant (CIMC) to earn this certification.
Russell Norwood, CEO, is one of the principal owners of Venturi Wealth Management. Norwood is a CFP with a CIMA designation. He spent 23 years at Merrill Lynch prior to founding the firm and has worked in financial services since 1986.
George Clark, chief investment officer, worked at Merrill Lynch for 18 years as an institutional relationship manager. He is a CFA.
Awards and Recognitions
In 2017 and 2018, the Financial Times recognized Venturi Wealth Management as one of the top 300 registered investment advisors.
Barron’s magazine has named Russell Norwood, CEO and co-founder, as one of the top 1,000 financial advisors in the U.S. from the inception of the accolade in 2009 through 2015.
Advisory firms generally have partnerships with brokerage firms. This helps facilitate the trades needed for your portfolio. Venturi Wealth Management recommends clients use the custody, brokerage and clearing services of Raymond James Financial Services, Fidelity or Schwab Advisor Services.
Venturi Wealth Management advisors have no disclosures or disciplinary actions recorded.
Venturi Wealth Management Investment Philosophy
Venturi advisors believe themselves to be contrarian investors who have a bias for high-quality investment alternatives. This means the company takes a longer horizon when buying and selling, rather than use short-term trading strategies.
The company uses the fundamental method of analysis. This involves an evaluation of the financial condition and surrounding economics behind a particular fund or issuer. The method involves examining qualitative and quantitative factors such as revenues, earnings future growth and more.
How the investment philosophy is applied depends on your goals. Cash flow is usually a concern of most clients and your other financial objectives will guide your portfolio’s construction.
Venturi Wealth Management Portfolio Management
Your assets will be allocated among securities such as:
- Mutual funds
- Individual debt and equity securities
- Independent investment managers
The ratios of what’s invested where depends on your risk tolerance, time horizon, liquidity constraints and other relevant factors. Your initial discussions with your advisor will help shape your portfolio’s investment strategy.
Starting an Account With Venturi Wealth Management
If you want to work with Venturi, you can get the ball rolling by calling (512) 220-2035, emailing firstname.lastname@example.org or filling out a short contact form.
You’ll choose from the four major client offerings: discretionary investment advisory services, integrated financial planning, business advisory services and legacy and estate planning. This can be further broken down into the following services:
- Business planning
- Trust and estate planning
- Financial reporting
- Investment consulting
- Insurance planning
- Cash flow forecasting
- Charitable giving
- Distribution planning
- Tax planning
- Manager due diligence
- Executive stock planning
You’ll meet with your team a few times initially to go over your financial goals and objectives. During these meetings, your advisor create an investment plan for your portfolio based on the information you provide. Common objectives are usually cash flow and tax concerns, but whatever concerns you most will be taken into account while developing your plan.
Your investment portfolio is managed on a discretionary basis. This means securities are bought and sold on your behalf in accordance with your discussed parameters. You won’t have active day-to-day involvement with your account. Venturi will keep you updated with quarterly reports, and you’ll have unlimited access to client services. This means you can keep yourself as informed of your accounts as you wish, but if you want to take a back seat, that’s what a wealth management company is for.
If you choose integrated financial planning along with investment services, you’ll receive strategies for things such as philanthropy, family office services, trust planning and more. This will work holistically with your investment plan to give you the most integrated results.
What Types of Clients Does Venturi Wealth Management Accept?
Venturi Wealth Management has deep experience working with affluent clients and serves the following types of clients:
- Charitable organizations
- Pooled investment vehicles
Where Is Venturi Wealth Management Located?
Venturi Wealth Management's main office is located on the northwest side of Austin between the Lakeside and Davenport Ranch neighborhoods right off the Capital of Texas highway. The firm also has an office in Oklahoma City, located in the northern neighborhood of Broadway Park.