Description of Firm
Inspire Advisors, LLC is a registered investment adviser based in Meridian, Idaho. We are organized
as a limited liability company ("LLC") under the laws of the State of Delaware. We have been providing
investment advisory services since 2019. We are owned by Inspire Impact Group, LLC, Keith Chandler
and Jevon Webster. The primary owner and CEO of Inspire Impact Group, LLC is Robert J. Netzly.
The following paragraphs describe our services and fees. Refer to the description of each investment
advisory service listed below for information on how we tailor our advisory services to your individual
needs. As used in this brochure, the words "we," "our," and "us" refer to Inspire Advisors, LLC and the
words "you," "your," and "client" refer to you as either a client or prospective client of our firm.
Assets Under Management
As of 12/31/2023, we provide continuous management services for $835,309,154 in client assets on a
discretionary basis.
Biblically Responsible Investing
Inspire integrates Biblically Responsible Investing (BRI) standards in all of the advice it provides.
Inspire uses their proprietary Inspire Impact Score™ methodology to seek out investments in
companies that are aligned with biblical values and avoid investments in companies which profit from
or support practices at odds with biblical values. Inspire uses an affiliated screening technology called
Inspire Insight (www.inspireinsight.com) to ensure that investments in which it puts client money are
consistent with the biblically responsible investing strategy described here.
Portfolio Management Services
We offer discretionary portfolio management services via the use of sub-advisors to manage a portion
of your account on a discretionary basis. The sub-advisor(s) may use one or more of their model
portfolios to manage your account. We will regularly monitor the performance of your accounts
managed by sub-advisor(s), and may hire and fire any sub-advisor without your prior approval. We
may pay a portion of our advisory fee to the sub-advisor(s) we use; however, you will not pay our firm a
higher advisory fee as a result of any sub-advisory relationships. Our investment advice is tailored to
meet our clients' needs and investment objectives.
If you participate in our discretionary portfolio management services, we require you to grant our firm
discretionary authority to manage your account. Discretionary authorization will allow us, and by
default the sub-advisor we engage, to determine the specific securities, and the amount of securities,
to be purchased or sold for your account without your approval prior to each transaction. Discretionary
authority is typically granted by the investment advisory agreement you sign with our firm and the
appropriate trading authorization forms.
You may limit our discretionary authority (for example, limiting the types of securities that can be
purchased or sold for your account) by providing our firm with your restrictions and guidelines in
writing.
We may also offer non-discretionary portfolio management services. If you enter into non-discretionary
arrangements with our firm, we must obtain your approval prior to executing any transactions on behalf
of your account. You have an unrestricted right to decline to implement any advice provided by our firm
on a non-discretionary basis.
5
As part of our portfolio management services, in addition to other types of investments (see
disclosures below in this section), we may invest your assets according to one or more
model portfolios developed by our firm. These models are designed for investors with varying degrees
of risk tolerance ranging from a more aggressive investment strategy to a more conservative
investment approach. Clients whose assets are invested in model portfolios may not set restrictions on
the specific holdings or allocations within the model, nor the types of securities that can be purchased
in the model. Nonetheless, clients may impose restrictions on investing in certain securities or types of
securities in their account. In such cases, this may prevent a client from investing in certain models
that are managed by our firm.
Financial Planning Services
We offer financial planning services which typically involve providing a variety of advisory services to
clients regarding the management of their financial resources based upon an analysis of their
individual needs. These services can range from broad-based financial planning to consultative or
single subject planning. If you retain our firm for financial planning services, we will meet with you to
gather information about your financial circumstances and objectives. We may also use financial
planning software to determine your current financial position and to define and quantify your long-term
goals and objectives. Once we specify those long-term objectives (both financial and non-financial), we
will develop shorter-term, targeted objectives. Once we review and analyze the information you provide
to our firm and the data derived from our financial planning software, we will deliver a written plan to
you, designed to help you achieve your stated financial goals and objectives.
Financial plans are based on your financial situation at the time we present the plan to you, and on the
financial information you provide to us. You must promptly notify our firm if your financial situation,
goals, objectives, or needs change.
Sub-Advisory Services to Registered Investment Advisers
We also offer sub-advisory services to unaffiliated registered investment advisers (the "Primary
Investment Adviser") where we act as the sub-advisor. As part of these services, we will provide model
portfolios, which the
Primary Investment Adviser selects for their clients. We will not directly manage
the Primary Investment Adviser's individual client accounts. The Primary Investment Adviser will be
responsible for selecting the appropriate model(s) for its clients.
Sub-Advisory Service for Our Registered Investment Advisers
We also allow sub-advisory services from an unaffiliated registered investment adviser, where we act
as the Primary Investment Adviser. As part of these services, the sub-advisor can provide financial
planning services as well as administrative duties for our Registered Investment Advisers. We will
directly manage the individual client accounts. We will be responsible for selecting the appropriate
model(s) for our clients.
Selection of Other Advisers
We may recommend that you use the services of our affiliated money manager, Inspire Investing, LLC,
to manage all, or a portion of, your investment portfolio. After gathering information about your financial
situation and objectives, we may recommend that you engage Inspire. Factors that we take into
consideration when making our recommendation(s) include, but are not limited to, the following:
Inspire's performance, methods of analysis, fees, your financial needs, investment goals, risk
tolerance, and investment objectives. We will monitor Inspire's performance to ensure its management
and investment style remains aligned with your investment goals and objectives.
Inspire will actively manage your portfolio and will assume discretionary investment authority over your
account. We will assume discretionary authority to hire and fire Inspire and/or reallocate your assets to
other third-party money managers where we deem such action appropriate. However, in light of the
6
common control and ownership between Inspire Advisors, LLC and Inspire, it is unlikely that we would
do so. You should be aware that this presents a conflict of interest as we have a financial incentive to
use Inspire as they will be compensated rather than another third-party money manager. However, you
are under no obligation to use Inspire or any other sub-advisor that we might recommend.
Types of Investments
We primarily offer advice on equity securities, mutual fund shares, money market funds and ETFs.
There is a conflict of interest because Inspire is a manager of the ETFs recommended by Inspire
Advisors and will be compensated if these recommendations are agreed upon. However, as a
fiduciary, Inspire Advisors has an obligation to only recommend investments that are appropriate for
clients and to only act in the clients' best interest.
Additionally, we may advise you on various types of investments based on your stated goals and
objectives. We may also provide advice on any type of investment held in your portfolio at the inception
of our advisory relationship.
IRA Rollover Recommendations
Effective December 20, 2021 (or such later date as the US Department of Labor ("DOL") Field
Assistance Bulletin 2018-02 ceases to be in effect), for purposes of complying with the DOL's
Prohibited Transaction Exemption 2020-02 ("PTE 2020-02") where applicable, we are providing the
following acknowledgment to you.
When we provide investment advice to you regarding your retirement plan account or individual
retirement account, we are fiduciaries within the meaning of Title I of the Employee Retirement Income
Security Act and/or the Internal Revenue Code, as applicable, which are laws governing retirement
accounts. The way we make money creates some conflicts with your interests, so we operate under a
special rule that requires us to act in your best interest and not put our interest ahead of yours. Under
this special rule's provisions, we must:
•Meet a professional standard of care when making investment recommendations (give prudent
advice);
•Never put our financial interests ahead of yours when making recommendations (give loyal
advice);
•Avoid misleading statements about conflicts of interest, fees, and investments;
•Follow policies and procedures designed to ensure that we give advice that is in your best
interest;
•Charge no more than is reasonable for our services; and
•Give you basic information about conflicts of interest.
We benefit financially from the rollover of your assets from an ERISA account to an account that we
manage or provide investment advice to, because the assets increase our Assets Under Management
and, in turn, our advisory fees. In contrast, we receive less, or no, compensation if assets remain in the
current plan or are rolled over to another Company's plan in which you may participate.
Consulting Services
We provide investment consulting services to certain customers of Mutual Securities, Inc. an
unaffiliated broker-dealer, member FINRA ("Brokerage Customers") who have provided written
consent requesting to receive Inspire Advisors' consulting services. Such Brokerage Customers will
enter into a written advisory agreement with us. Our financial consulting services primarily involve
7
advising clients on specific financial-related topics including, but are not limited to, risk
assessment/management, investment planning, financial organization, or financial decision
making/negotiation.
Participant Account Management
We use a third party platform (Pontera) to facilitate management of held away assets such as defined
contribution plan participant accounts, with discretion. The platform allows us to avoid being
considered to have custody of Client funds since we do not have direct access to Client log-in
credentials to affect trades. We are not affiliated with the platform in any way and receive no
compensation from them for using their platform.