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Updated on Monday, July 19, 2021
Orgel Wealth Management is a financial advisory firm headquartered in Altoona, Wisconsin, with a second office in Minnetonka, Minnesota. It works with individual investors and families to manage their investment portfolios and provide financial planning guidance. The firm’s team also works with institutional investors, among others, and offers services to manage employer-sponsored retirement plans. A minimum investment of $1 million is generally required to become a client, though exceptions are made.
The bottom line: Orgel Wealth Management is a financial advisory firm with locations in Wisconsin and Minnesota, and a general $1 million investment requirement, although it does make exceptions.
- Fees are on the lower side
- Only two office locations
- Financial planning included in advisory fee
|Assets under management: $5,618,834,000|
|Minimum investment: Typically $1 million|
|Individual investor to advisor ratio: 142:1|
|Fee structure: A percentage of AUM, fixed fees|
|Headquarters: 20 Rivers Edge Drive
Altoona, WI 54720
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Overview of Orgel Wealth Management
Orgel Wealth Management was officially formed in 2013 by Mark Orgel, its current chairman, though its roots date back to 1984 through predecessor practices. It is a full-service, independent wealth management firm that currently has over 50 employees, around 21 of whom perform investment advisory and research roles. Three of the firm’s principals hold the chartered financial analyst (CFA) designation and three are certified financial planners (CFP).
The firm is wholly employee-owned, with no employee owning more than 25% of the company.
Orgel Wealth Management’s pros
- Low fees: You will pay an annual asset-based fee of only 0.50% on the first $5 million that you and your family invest with Orgel Wealth Management. This is on the low end compared to industry average fees, which typically range from 0.50% to 1.25% of assets under management. What’s more, Orgel’s fee includes some financial planning services and consulting; many other firms charge extra for those services. The fee also includes brokerage and custodian fees if you use Pershing LLC as your custodian.
- Clearly disclosed fees and sources of income: Orgel Wealth Management is a fee-only financial advisor, meaning its only source of compensation is the fees its clients pay for its services. This reduces potential conflicts of interest that may arise, such as when advisors can earn income from recommending certain products to their clients.
- Clean disciplinary record: The firm has had no disciplinary issues in the past 10 years.
Orgel Wealth Management’s cons
- Only two office locations: Although Orgel is registered to work with clients in many states, the firm has just two offices, in Altoona, Wisconsin, and Minnetonka, Minnesota. If you want to work with your advisor in-person and don’t live near either of its office locations, you may want to look elsewhere.
- High minimum investment requirement: The firm’s brochure states that it generally requires a minimum portfolio size of $1 million for new clients, which may be out of reach for many investors. That said, the firm may accept clients with smaller portfolios at its discretion — in fact, according to the firm’s Form ADV, the bulk of its clients are individuals not considered high net worth — so you may still consider reaching out to the firm to see if you can make the cut.
- Potential conflict of interest related to custodian: Orgel Wealth Management receives support services from the custodian, Pershing, LLC, which the firm states in its Form ADV could represent a conflict of interest because it may be influenced to recommend Pershing as a custodian to its clients. The firm has worked to mitigate this potential conflict of interest by adopting a code of ethics on the matter and instituting other policies, however.
What types of clients does Orgel Wealth Management serve?
Orgel Wealth Management’s clients are predominantly individual investors who do not qualify as high net worth individuals (the SEC defines as someone who has at least $750,000 in assets under management or a net worth of at least $1.5 million).
While Orgel generally requires new clients to invest a minimum of $1 million, it may accept smaller accounts at its discretion, as indicated by its large portion of individual investors without a high net worth. Additionally, families can combine all of their accounts to reach the firm’s $1 million threshold.
Services offered by Orgel Wealth Management
Most clients tap Orgel to manage their investment portfolios. The firm’s team will conduct a lengthy conversation with clients to determine their goals, risk tolerance and time horizon, and then craft a portfolio tailored specifically to the client. Trades are placed on a discretionary basis, meaning the firm does not first need the client’s approval. Rather, clients give their advisor broad discretion to choose what, and how much, to buy and sell on a daily basis, although clients can provide some parameters.
The firm also can make recommendations for insurance and estate plans, but it does not actually sell insurance products, draft estate plans or file tax returns, and instead refers clients to outside professionals for these tasks.
For employers, Orgel offers assistance with the management of employer-sponsored retirement plans, including plan design, fees, recordkeeping, participant education and investment advice.
Here is a full list of services offered by Orgel Wealth Management:
- Portfolio management
- Financial planning and consulting services
- Investment planning
- Budget planning
- Retirement planning
- Estate planning assistance
- Education expense planning
- Business consulting and transition services
- Risk management and insurance
- Retirement plan management and consulting services
How Orgel Wealth Management invests your money
Orgel Wealth Management crafts each client’s portfolio based on their specific needs, goals and objectives, risk tolerance and time horizon.
When deciding which investments to use, Orgel relies on an approach that combines fundamental and technical analysis. Fundamental analysis considers details such as the strength of the company’s management team, its competitive positioning and its financial condition. Technical factors analyzed include past market patterns, moving averages and price correlations, with the goal of identifying trends that likely have more to do with investor sentiment than the fundamentals of the investment.
In general, the firm places a particular emphasis on reducing risk, as well as achieving tax efficiency. Client’s funds are invested primarily in mutual funds, exchange-traded funds (ETFs), stocks and bonds, though portfolios may also include private debt and equity, hedge funds and real estate investment trusts (REITs).
Fees Orgel Wealth Management charges for its services
Orgel Wealth Management’s fees cover services including portfolio management and any financial planning or consulting services a client requests. The fee is calculated as a percentage of your total assets under management. Most new clients will pay an annual fee of 0.50% for the first $5 million invested, and that rate drops as you invest more money, as you can see in the table below.
|Fee schedule for Orgel Wealth Management|
|Assets under management||Annual rate|
|First $5 million||0.50%|
|Next $5 million (amount over $5 million to $10 million)||0.40%|
|Next $15 million (amount over $10 million to $25 million)||0.50%|
|Next $25 million (amount over $25 million to $50 million)||0.25%|
|Over $50 million||0.10%|
Generally, the fee also covers your custodian fees if you use Pershing, LLC as your custodian, which the firm recommends. If you choose a custodian other than Pershing, however, you may owe separate brokerage and transaction costs. You may also owe fees outside of what Orgel charges, including mutual fund and ETF costs.
If you’re looking for standalone financial planning services, you can negotiate a fee, perhaps a fixed fee, with the rate based on the complexity of your needs.
Orgel Wealth Management’s disciplinary disclosures
Orgel Wealth Management has a clean disciplinary record, disclosing no events over the past 10 years. All registered investment advisors are required to disclose any legal, regulatory or criminal event that is material to how a client evaluates the business or the integrity of the management team in their Form ADV, paperwork filed with the SEC.
For more information, you can go to the firm’s IAPD page.
Orgel Wealth Management’s onboarding process
To get in touch with Orgel Wealth Management, you can
- Fill out this form on the firm’s website
- Call the Wisconsin office at 715-835-6525
- Call the Minnesota office at 612-377-2253
Once you are an established client with Orgel, you can expect to receive quarterly reports detailing your holdings and performance. If you’ve enlisted the firm for financial planning or consulting services, you’ll receive a written report of recommendations. It is your responsibility to notify the firm if your financial situation changes.
Where Orgel Wealth Management is located
Orgel Wealth Management has offices in Altoona, Wisconsin, and Minnetonka, Minnesota.
Is Orgel Wealth Management right for you?
If you are looking for a smaller, more intimate advisory practice where you know exactly how much you’ll pay and how much the firm will earn off of your accounts, Orgel Wealth Management could suit your needs. The firm’s fees are lower than industry averages, and include additional services like retirement and education planning. Although the firm generally requires new clients to invest a minimum of $1 million, it will waive that minimum requirement at its discretion. In fact, the bulk of its current individual clients are not considered high net worth per the SEC’s definition.
The fact that the firm only has two offices, however, limits clients to those who are local to the areas or willing to have a long-distance relationship with their financial advisor. Clients who do not want to custody their funds at Pershing, LLC, should be prepared to pay additional fees as well. As always, be sure to research multiple firms to ensure you find the right advisor for you.
The “Find a Financial Advisor” links contained in this article will direct you to webpages devoted to MagnifyMoney Advisor (“MMA”). After completing a brief questionnaire, you will be matched with certain financial advisers who participate in MMA’s referral program, which may or may not include the investment advisers discussed.