Questions and answers about VictorWealth
Here’s what you need to know before getting started.
How much does VictorWealth cost?
There are no trading fees, transaction fees, or rebalancing fees. VictorWealth offers simple pricing based on your account balance. You’ll pay a flat advisory fee of 0.25% per year calculated monthly in arrears based on your account balance. The minimum account is $100,000.
What does VictorWealth do?
Once you tell us about yourself, the VictorWealth team will suggest an investment strategy and handle the day-to-day management of your account, including trading and investing your contributions.
Who may open a VictorWealth account?
You must be at least 18 years old and a resident of the U.S. to open a VictorWealth account.
What kind of investment can I expect to find in my account ?
Your account will hold a combination of domestic stocks, foreign stocks, bonds, and/or exchange-traded funds (ETFs).
Who chooses my investment?
The day‐to‐day investment and trading decisions in your VictorWealth account will be handled by VictorWealth, a registered investment advisor. For additional information, see About Us.
What if I have a question that isn't answered here?
Please feel free to contact us during our business hours.
About VictorWealth
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VictorWealth is a type of managed account designed for clients who seek a professional, discretionary investment management experience. Most of your experience with VictorWealth takes place online—including providing information about yourself, opening your account, and tracking your investments.
When you enroll in VictorWealth, you turn the day-to-day investment decisions for your money over to an experienced professional, who provides this service for a fee. Based on the information you supply, your investment manager will invest your money to help you meet your investment goals.
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You start by telling us a few things about yourself: the year you were born, your household income, the reason you’re investing, the amount you hope to invest, when you’ll need the money you’re investing, and your chosen risk tolerance level. Once you do that, we’ll suggest an investment strategy consisting of stocks, bonds, and short-term investments, based on what we think is appropriate for your goals. From there, you can explore other investment strategies, accept our suggestions, or give us additional information to help us recommend a more-tailored investment. After that, you open your account online.
Once your account is open, you can add money to it. We’ll start by offering you the chance to make an initial deposit, consistent with the profile you created. If you told us you were going to make recurring monthly deposits, we’ll prompt you to add those next. But don’t worry if you want to put those off until later — you can set those up at any time.
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Once you provide some information about yourself, we will handle all day-to-day investment decisions. These include:
- Suggesting an initial investment strategy, or mix of investments such as your goal, your time horizon, and your tolerance for risk.
- Buying and selling investments in your account to maintain the investment strategy you’ve chosen, often referred to as “rebalancing.”
- Investing any contributions you make over time according to the investment strategy you’ve chosen.
- Keeping you informed on how your investments are doing.
- Reminding you every year to review and update the information you’ve provided.
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VictorWealth will work to create a comprehensive investment service for you.
The advisory services and the discretionary portfolio management services for VictorWealth accounts are provided by an investment manager. VictorWealth is a registered investment advisor with the state of California.
Brokerage and Custodial services are provided by Interactive Brokers and TD Ameritrade.
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It could be. Start by asking yourself these questions:
- Do you want a professional investment manager to choose your investments for you and make changes to your account as needed, based on market conditions?
- Do you want your money invested in a portfolio of low-cost investments?
- Are you willing to pay a fee for someone to make investment decisions on your behalf?
- Are you comfortable taking care of your account online, including providing information about yourself, opening your account, and tracking your investments through the secure websites of our custodians like Interactive Brokers and TD Ameritrade?
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In addition to a website where you can check on your account, we will also send monthly emails to the email address you provided when you opened your account. These emails will contain a summary of account information, including your balance, plus a summary of any activity that’s taken place in your account over the past month. We are also available by phone during normal business hours.
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VictorWealth offers a range of resources and planning tools that can help you track your progress toward various goals, including planning for retirement, saving for college, and other goals.
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The investments in your VictorWealth account are subject to the ups and downs of the market. When markets decline, or the investments in your account decline in value, you may lose money.
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VictorWealth focuses on serving clients through a hybrid model of physical and digital communication.
What you’ll pay
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VictorWealth offers simple flat pricing of 0.25% based on your account balance charged monthly in arrears. There are no trading fees, transaction fees, or rebalancing fees.
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Your advisory fee is calculated monthy in arrears and automatically deducted from your account each month, which means you’ll never receive a bill from VictorWealth.
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There are no fees specifically charged for withdrawing money from your VictorWealth account. However, closing your account by withdrawing your entire balance will result in a termination of the managed account service, at which time you will be charged a prorated portion of the advisory fee for the time your account was managed during the current monthly billing period.
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There is no account closure fee. We will, however, deduct a prorated portion of your net advisory fee based on the number of days your VictorWealth account was managed during the quarterly billing period and your balance during that period.
Opening your account
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VictorWealth uses an online account application, which should only take a few minutes to complete. Assuming everything is in good order, once you successfully complete the application, your new account number will be generated promptly.
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You must be at least 18 years old and a resident of the U.S. to open a VictorWealth account.
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Taxable (Individual/Joint)
Trust Account
Traditional IRA
Roth IRA
Rollover IRA
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The minimum account size is $100,000.
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There are no restrictions on the number of accounts you can have open. However, VictorWealth accounts must be funded within six months of being opened or the accounts may be subject to closure.
Funding your account
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1) You can fund your account with cash or eligible securities.
To transfer cash or securities from a VictorWealth or non-VictorWealth account, simply use the “Add Money” button on your dashboard, then choose how you’d like to fund your account. Transferred securities will be sold to buy the underlying investments in your account according to your selected investment strategy.2) Deposit a check into your account. Be sure to write your account number in the memo field.
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No. You’ll need to use the Add-a-Bank process to link your bank account with your new VictorWealth account.
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The minimum to open a VictorWealth account is $100,000, the amount you choose to invest is really up to you. Here are a few things to consider as you decide:
- It’s a good idea to set aside an emergency fund. In general, people put this in short-term investments as opposed to an investment account like VictorWealth.
- If you have a workplace savings plan through your job, you may want to consider setting aside the maximum allowable amount in this plan before investing in a VictorWealth account. This amount will vary depending on your age.
- While it’s important to invest in your future, it may also make sense to pay off your debt, particularly high-interest debt. Before investing in VictorWealth or any other type of investing account, consider your debt balances.
If you feel like you’ve addressed the considerations above, an investment account like VictorWealth can be a good way to pursue long-term goals. For taxable accounts, you can deposit as much as you’d like. However, online contributions to VictorWealth are currently limited to $100,000 per day. If you’d like to start with an amount greater than this, please contact us at 800-381-1053. For a tax-advantaged account, like a Traditional or Roth IRA, if you’re age 50 or older you can save up to $7,000 a year. Starting in 2020, as long as you are still working, there is no age limit to be able to contribute to a Traditional IRA. The Secure Act, signed into law on December 20, 2019, removed the age limit in which an individual can contribute to an IRA. The top age prior to the law was 70 1/2.
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If you transfer cash directly from a self-directed VictorWealth brokerage account into your VictorWealth account, that money should appear in your account immediately, provided the transfer request was received in good order by VictorWealth prior to 9:00 pm. ET. For transfers from an external bank, transfer requests submitted by 4:00 pm. ET, are generally received by VictorWealth on the next business day, although times may vary, due to conditions outside of our control. If you send us a check, the money will generally appear in your VictorWealth account on the same day we receive that check.
For monthly transfers, the money will appear in your account on the next business day after the transfer was scheduled. In other words, if your monthly transfer is scheduled for the 15th of each month, the money will appear in your account on the 16th, assuming that date doesn’t fall on a Saturday, Sunday, or bank holiday.
If transferring eligible securities to fund your account, funding times may vary from 3 to 10 business days, depending on the types of investments used for funding and the type of account you’ve opened.
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For taxable accounts, you can deposit as much as you’d like. However, online contributions are currently limited to $100,000 per day. If you’d like to start with an amount greater than this, please contact an investment professional by calling 800-381-1053.
For tax-advantaged accounts, such as IRAs, the amount you can contribute is subject to IRS annual contribution limits. Rollover and IRA transfer amounts are not subject to those limits.
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Soon after, we’ll purchase shares of the recommended portfolio in a mix of stocks, bonds and exchange-traded funds that reflect the investment strategy you chose. Over time, we’ll work to maintain the investment strategy you chose, buying and selling different holdings as needed. This is known as rebalancing.
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Once your account reaches a balance of $100,000 or more, we’ll usually begin investing according to your investment strategy over the next few business days. When you fund your account from external sources (i.e., a transfer from an external bank or a check) or with eligible securities, that money may take up to 10 business days before it can be invested.
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You can fund your account with eligible securities, which are then sold to buy the underlying investments in your account according to your selected investment strategy.
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You can roll over cash from a 401(k) account to a VictorWealth Rollover IRA account.
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Yes, at any time you can log into your account and use the transfer function to change the amount of your monthly deposits or set them up (if you didn’t do it when you opened your account).
To cancel your monthly deposits, please contact an investment professional by calling 800-381-1053.
After your account is open
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We recommend that you review what you’ve told us at least once each quarter and make updates as needed. However, in order to ensure that the suggestions we make for your investment strategy are based on the most up‐to‐date information, feel free to come back and make changes as needed.
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While it’s not necessary to be accurate down to the last penny, being more accurate can make it easier for us to suggest an investment strategy that’s appropriate for you and your goal. Also, the more information you provide, the more closely we’ll be able to align an investment strategy to your personal situation.
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Once your account has been funded and invested, you’ll have the opportunity to choose a dollar amount you’re trying to reach by a certain date. Once you choose that dollar amount, we can help you estimate your likelihood of success. If it looks like you may not reach it, we’ll offer some suggestions of things you can do that may improve your likelihood of success.
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You can use the online transfer functionality you used to fund your account, as long as the withdrawal doesn’t leave your balance below the investment minimum.
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If your account balance falls below $50,000 due to money you withdrew, you may be asked to add more money to your account in order to bring the balance back up to the minimum size. If you fail to do so, we may be unable to manage your account and in such case, we will contact you in order to terminate the service. However, if your balance falls below the minimum because of a market decline, you will not be asked to add any additional funds.
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Depending on the nature of the request, requests for withdrawals may take up to 10 business days. This time may vary, depending on the circumstances.
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You can close your account, or terminate your service, online by processing a full withdrawal request. There is no cancellation fee should you decide to terminate your participation in VictorWealth. If you do terminate the service, you will be charged a prorated portion of the advisory fee for the time your account was managed and based on your account balance during that period.
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There are a few ways to view your account:
• Log in to your account to see the different types of investments you own.
• You’ll receive monthly emails with a summary of account information, including your balance and any activity that’s taken place in your account over the past month.
• You’ll receive confirmations letting you know when we make trades on your behalf.
• You can view your account statement online, which will provide information about your holdings, any trades we make in your account, any dividends you receive, and all other account activity over the past month, including any advisory fees that were deducted from your account. -
Program Fundamentals, also known as Part 2 of Form ADV, is something we’re required to provide by both the SEC and state regulatory agencies.
- Part 2A is the investment advisor’s brochure and talks about its business practices, fees, potential conflicts of interest, and disciplinary information.
- Part 2B, also called the “brochure supplement,” includes information about the specific individuals, acting on behalf of the investment advisor, who actually provide investment advice and make investment decisions about your account.
We’ll provide the VictorWealth Portfolio Essentials, and the Client Agreement to you at the time you open your account, and these documents (including any material updates made to them) will be available to you on the Account Information section of your account online.
Your annual strategic review
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You’re free to change your information by visiting your VictorWealth account summary at any time.
In addition, we will check in with you once a year to ask you to review your information to ensure nothing has changed. We call this your Annual Strategic Review. If you notify us that things have changed, we may suggest a new investment strategy for you. In some cases, we may tell you that your current strategy is no longer appropriate for your account and ask you to select a new one.
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We base our suggestion for the investment strategy for your account on the information we have on file for you. In order to help us provide a strategy that’s appropriate for your goals and your risk tolerance, it’s important that you keep that information up to date. This is why we ask that you review and update your information each year.
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All you have to do is go back to the original questions you answered when you opened your account, review the answers you provided, and make changes where necessary. If nothing has changed, you can confirm that. We’ll provide a link at the top of your account summary to make it easier to find your information.
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As part of your Annual Strategic Review, we’ll send you an email 30 days prior to the date we need you to review your information.
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If you don’t respond to our request to update or verify your information, we’ll do our own analysis of your account and your information. In some cases, we may find that your investment strategy is no longer appropriate for your account, generally because you’re taking on more risk than is suitable for you, based on what we know about you. In these cases, we’ll move you into a strategy that is more appropriate for you and your goal. You’ll be notified by email when this happens, and will receive an email notification once we make the trades to put your new strategy into place.
How your account is invested
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The day‐to‐day investment and trading decisions in your VictorWealth account will be handled by VictorWealth, a registered investment advisor in the state of California.
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You may not buy and sell individual investments in your VictorWealth account. By enrolling in a managed account service like VictorWealth you turn the day-to-day management of your investments over to a team of investment professionals. However, you are entitled to place reasonable restrictions on the management of your account. Please contact us at 800-381-1053 for additional details.
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Yes, you can change your investment strategy at any time to any of the suitable options, based on info provided in your account profile. When you make changes to the information we have on file or provide addition information, we may suggest a different investment strategy for your account. To make these kinds of changes, login to your VictorWealth account summary.
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Your account will primarily hold Stocks, Bonds and/or Exchange Traded Funds. The combination of investments which your account invests may change over time depending on the investment strategy you select.
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VictorWealth Strategies are proprietary portfolios created to meet your investment strategy goals. Unlike mutual funds, VictorWealth Portfolios do not charge marketing or sales fees.
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In selecting investments for VictorWealth accounts, multiple factors are examined, including but not limited to investment philosophy, risk and return characteristics (how closely the security tracks an underlying index), ESG ratings, and tax efficiency.
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These terms refer to the way individual securities are chosen for an account. In an actively managed fund, a fund manager buys and sells investments with the intention of performing better than a market index or a specific area of the market, sometimes called a benchmark. In a passively managed fund, the goal is simply to track the performance of a market index or a specific area of the market.
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In general, we believe taxable accounts can benefit from investing in municipal bonds because these bonds provide income that is exempt from federal income taxes, which may enhance performance over time.
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First, once you’ve added money to your account but prior to our implementing your chosen investment strategy, we’ll keep your money in a fund of this type. You may see this referred to as your core position. Second, once your account is invested, you may see a minimal amount of money market fund shares in your account to handle fees, or because of money that came into your account from dividends and corporate actions. Finally, we may also keep all or a portion of your account in a fund of this type while you’re awaiting a distribution due to a withdrawal.
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Once your account is invested, your original mix of investments may drift from the strategy you selected. When this happens we restore that original mix either by rebalancing your account or by buying some types of assets and selling others. While all VictorWealth portfolios are continuously monitored, if markets move significantly in either direction and your portfolio strays significantly from the investment strategy you selected, we may rebalance.