Firm Info
Firm Size
Services Offered
- Financial Planning
- Portfolio Management for Individuals & Small Businesses
- Pension Consulting Services
- Selection of Others Advisors
Types of Clients
- Individuals (Not High Net Worth)
-
Individuals High Net Worth
*>=750k in Investable Assets or >=1.5m of Estimated Total Net Worth
- Pension & Profit Sharing Plans
- Charitable Organizations
- Corporations or Other Businesses Not Listed Above
Available Fee Structures
- Percentage of Assets Under Management (AUM)
- Hourly
- Fixed Fees (Other than subscription)
Birchwood Financial Partners, Inc. Overview
Birchwood Financial Partners, Inc. is a fee-only registered investment advisory firm that provides investment advice to individuals and small businesses. The firm is headquartered in Edina, MN and has been in business since 2014. Their fee arrangement ensures that they are not compensated by commission, which allows them to offer objective advice without any conflicts of interest. Birchwood Financial Partners, Inc. offers a range of services to their clients including financial planning, portfolio management, and pension consulting services. Their financial planning services include advice on achieving investment goals, managing taxes, and creating an overall financial plan that aligns with their clients' life goals. In addition, the firm offers portfolio management services that help clients achieve their investment objectives while taking into account their risk tolerance and investment horizon. The pension consulting services provided by Birchwood Financial Partners, Inc. help clients navigate the complex world of pension management, including designing and implementing pension plans, monitoring funding and compliance requirements, and assisting with administrative tasks. Finally, the firm also offers assistance with the selection of other advisors. This service provides clients with the resources to make informed decisions about engaging other advisors, such as estate planning attorneys or tax professionals. Overall, Birchwood Financial Partners, Inc. is a fee-only registered investment advisory firm that provides investment advice to individuals and small businesses. With their comprehensive services and commitment to objective advice, they are an ideal partner for anyone looking to achieve their investment goals and secure their financial future.
Birchwood Financial Partners, Inc. offers a wide range of financial services to clients of various backgrounds. They serve individuals seeking assistance with their investments, as well as high net worth individuals who require more complex financial planning strategies. The firm also caters to pension and profit sharing plans, charitable organizations, and other types of corporations that require professional guidance on their finances. With a team of experienced advisors, Birchwood Financial Partners, Inc. ensures that each client receives personalized attention and customized financial solutions that suit their unique needs. When it comes to fee structures, Birchwood Financial Partners, Inc. offers several options depending on the service provided to their clients. For clients who require investment management services, the firm charges a percentage of their assets under management (AUM). This means that clients pay based on the amount of money they have invested with the firm. For clients who require financial planning services on an hourly basis, Birchwood Financial Partners, Inc. charges based on the time spent on the project. Finally, the firm offers fixed fees for clients who require specific services such as tax preparation or estate planning. Birchwood Financial Partners, Inc. provides transparent fee structures that ensure clients understand and agree to the terms of their financial services.
Typical Clients, Fee Structures & Investment Minimum
Birchwood Financial Partners, Inc. requires a minimum investment of $1,000,000 to become their client, as stated in their Part 2 Brochure note about investment minimums. However, they also reserve the right to waive this minimum requirement and accept accounts with lesser assets at their discretion.
How This Office Can Help Edina, MN Residents
Centennial Wealth Advisory is a premier financial services firm that provides expert advice and guidance to clients in Traverse City, MI. They assist individuals and families in achieving financial freedom, security, and independence through personalized investment and wealth management strategies. Centennial Wealth Advisory understands the unique financial situations of Traverse City residents, and they provide customized solutions to help them achieve their goals. In Traverse City, many individuals and families may be facing financial challenges such as retirement planning, managing wealth, tax planning, estate planning, and investments. Centennial Wealth Advisory understands these challenges and offers solutions tailored to each client's specific needs. They work closely with clients to create a financial plan that will help them achieve their short and long-term goals, such as saving for retirement, buying a home, paying for college, or growing their business. With Centennial Wealth Advisory by their side, clients in Traverse City can be confident in their financial future and achieve the peace of mind they deserve.
Services Offered by Birchwood Financial Partners, Inc.
Core Advisor Services
Financial Planning
Financial planning services encompass the process of devising strategies for your future financial well-being, including preparing for events such as retirement, funding your child's college education, or planning for the transfer of assets.
Portfolio Management for Individuals & Small Businesses
Portfolio management entails the careful selection and strategic management of investment combinations tailored to meet the needs of individuals and small businesses.
Market Timing Services
Market timing services involve the endeavor to generate short-term profits from investments by capitalizing on opportunities to buy at low prices and sell at high prices.
Other Services
Selection of Other Advisors
The firm provides support in selecting and engaging other advisors who possess specialized expertise to complement your financial needs.
Publication of Periodicals or Newsletters
The firm engages in the dissemination of diverse financial educational materials through the publication of periodicals.
Educational Seminars & Workshops
The firm organizes and conducts seminars or workshops aimed at enlightening investors on various financial concepts.
Fee Structures
Financial advisory fees usually are based on the services provided. Fee types charged by Birchwood Financial Partners, Inc. most likely consist of the following fee types: asset-based, hourly or fixed. Wrap fee programs, or the practice of bundling services for a single fee, are not offered by the firm.
Available
Percentage of Assets Under Management (AUM)
This fee structure charges a percentage of the assets under management by the firm. Fee structures are often tiered based on the amount of assets managed, with higher AUM often charged a lower rate.
Between 0.50% and 2.00% of assets under management (annually), often lower for a robo advisor. Fees are typically charged quarterly by the firm and will show on your investment statement. View typical advisor costs here.
~96% of registered firms offer this fee structure.
If you have $1 million managed by a firm at a 1% management fee, you would be charged $10,000/year to manage your assets (or $2,500 per quarter). This would be automatically deducted from your investment portfolio.
Hourly
Similar to an attorney, a financial consultant might charge fees based on hourly rates. This fee structure can be advantageous when seeking specific or ad hoc advice.
Charges generally span from $150 to $400 per hour, depending on the extent of the services required.
~33% of registered firms offer this fee structure.
If you needed hourly consulting to sell a business or transfer your estate to your children but did not want your assets managed by a firm, you could consult a firm at an hourly rate to answer any questions you may have.
Fixed Fees (Other than subscription)
Fixed fees are a one-time, lump-sum payment rendered for a specific service, such as creating a financial plan without ongoing management or implementation. This option is beneficial if you solely require guidance for a particular objective rather than a long-term consultancy or asset management.
Fixed fees for creating a financial plan often range from $1,000 to $3,000.
~49% of registered firms offer this fee structure.
If you did not want a firm to manage your assets but needed to create a retirement plan, life transition plan such as divorce or loss of a spouse, estate transition plan, business financial plan, or any other financial planning, you could consult with an RIA firm to help you with the creation of that plan.
Unavailable
Subscription (Newsletter or Periodical)
Commissions
Occasionally, advisors are compensated through commissions by selling certain financial products, such as mutual funds or life insurance policies, or as a broker-dealer by facilitating the buying and selling of securities. Advisors who receive commissions may be incentivized to make specific suggestions to clients in order to secure a commission. Advisors who operate on a fee-only basis do not earn commissions, whereas fee-based advisors may do so.
Often 3% - 6% of the value of the security.
Only ~3% of registered firms say they offer this fee structure, but other advisors may receive “soft dollars”. Many mutual funds charge 12b-1 fees to cover the promoting and selling of the fund’s shares. While your advisor does not charge these fees, they may receive a kickback for recommending the investment.
An advisor selling their client on a life insurance policy and receiving a commission on the sale of that policy, or recommending a specific investment and receiving a kickback for that recommendation.
Performance-based Fees
Advisors typically obtain performance-based fees if a portfolio surpasses a predefined benchmark. This fee is determined through various methods, but is most commonly assessed as a percentage of investment gains. Performance-based fees may incentivize advisors to undertake riskier decisions in pursuit of generating higher returns.
“Two and Twenty” is common among hedge funds with a 2% management fee and a 20% incentive fee above the “hurdle rate,” or performance threshold the fund is compared against.
32% of registered firms offer this fee structure.
A hedge fund earns a 15% return with a 20% performance fee in above the performance of the S&P 500, which grew 7% that same year.
20% of fund growth in excess of S&P 500’s 7% growth for that year = 15% hedge fund growth - 7% S&P 500 growth = 8% difference x 20% = 2% performance fee (in addition to the management fee).
Other
Firms occasionally offer unconventional fee structures when charging clients. For more detailed information about a firm’s specific fee structures, please refer to their Form ADV and Part 2 Brochure.
Types of Clients
*The Securities & Exchange Commission defines someone as “high net worth” if they have $750,000 or more in investable assets or $1.5M of estimated total net worth.
This Office Location
Other Office Locations
This firm has no other locations.
State Registrations
Birchwood Financial Partners, Inc. is registered to service clients in the following states:
- Arizona
- California
- Florida
- Illinois
- Minnesota
- New York
- North Carolina
- Texas
- Wisconsin
Disciplinary History
Birchwood Financial Partners, Inc. does not have any disclosures. Please visit it's Form ADV for more details.