Overview
Form ADV Part 2A, Item 4
Wealth Management Corporation’s registration was granted by the U.S. Securities and Exchange Commission
on May 15, 2020. William Stuart Horak (CRD Number 1462594) is president and chief compliance officer of the
firm. Mr. Horak owns one hundred (100%) percent of the equity of the firm. The firm is not publicly owned or
traded. There are no indirect owners of the firm or intermediaries who have any ownership interest in the firm.
As of December 31, 2022, the firm managed assets on a discretionary basis in the amount of $153,405,388
(this represented 1,517 accounts) and on a nondiscretionary basis in the amount of $1,610,990 (this
represented 32 accounts).
The advisor provides regular investment supervisory services to clients. Such services consist primarily of
constructing and managing no load mutual fund portfolios. The firm manages each client’s portfolio on an
individualized basis. Client may impose restrictions on their accounts.
The firm does not sponsor any wrap programs.
The Advisor may also assist clients in determining the level of risk appropriate for their accounts and, in that
connection, may review other financial assets held by the client. Final decisions on risk level, however, are the
responsibility of clients. Implementation of Advisor’s strategies are accomplished by limited trading
authorization over a client’s segregated brokerage account to purchase and sell fund shares.
Approximately 90% of total advisory billings are derived from investment advisory services.
As an accommodation to clients who determine to liquidate securities holdings for the purpose of placing
proceeds thereof under the management of the Advisor, the Advisor will, upon direction of the client, instruct
Charles Schwab and Company to liquidate client securities holdings for investment in mutual funds deemed
appropriate by the Advisor. No commission or fees in addition to the advisory fee are payable to the Advisor in
connection with this service.
A five-step process is used to help the client achieve investment goals. The following describes the Wealth
Management approach:
1.Identify Risk Tolerances and Return Expectations: Determining where you want to go and how you want to
get there is the crucial first step. Our in-depth understanding of who you are will enable us to construct a
portfolio that will be just right for you. Wealth Management Corporation uses a Morningstar Scoring Model to
evaluate your time horizon and risk tolerance.
2. Research and Analysis: We believe we have access to some of the finest no load research and analysis
capabilities in the country. Our fund research goes far beyond the level of fund analysis most investors are
exposed to. Our size and influence enables us to speak directly to the no load fund managers themselves to
get maximum insights on your investments.
3. Implementations: We simplify and handle all the paperwork you need to get started. An account will
be
opened in your name at Charles Schwab & Co. Wealth Management Corporation never takes possession of
your money. We expedite and assist you with any liquidations or transfers necessary. Your assets are always
safely guarded by an independent third party. All purchases and sales of no-load funds are then handled
through your personal segregated account. Each client account is insured by the SIPC for up to $500,000.00.
4. Monitor: One of the few things we can guarantee in this world is change. Political, social and economic
events are constantly impacting your portfolio. We download and update each account daily. Trading, both
buying and selling, securities is done on an account by account basis.
5. Report: We believe it is your right to be kept well informed about all aspects of your account. You will receive
timely confirmations of activity in your account, as well as monthly statements from Charles Schwab. In
addition, you are invited to sit down with us each quarter to review your account in depth.
The firm uses the custodial services of Schwab Institutional. Schwab is a broker-dealer independent of and
unaffiliated with the Advisor. Schwab does not supervise the Advisor and has no responsibility for the Advisor’s
management of clients’ portfolios or the Advisor’s other advice for services.
The Investment Advisory Agreement takes effect the date the assets are deposited into the managed account
and runs through December 31 of each year and shall be automatically renewed for successive one-year
terms. The agreement may be terminated by either party giving written notice to the other party specifying the
date of termination. In the event the agreement is terminated prior to the end of the quarter, a pro-rata
reimbursement of the management fee will be made based on the number of days the client utilized the
Advisor’s services.
The Advisor may involve clients with fixed annuities, life and long-term care insurance. Compensation is
disclosed to clients in advance and is determined on a case-by-case basis. Additional incentives may be
provided by the individual companies. The Advisor may also be hired to give seminars or speeches for
compensation. The Advisor may also give public seminars at no, or possibly a nominal, cost for attendance.
Approximately 10% of advisory billings are generated from activities stated above which do not involve
securities transactions or management.
The Advisor’s minimum account size for new clients is $250,000 in assets. The Advisor will continue to service
existing accounts that do not satisfy the minimum. The Advisor may also, at its discretion, accept accounts that
do not satisfy the minimum if the Advisor believes that in a reasonable period the client will increase assets
managed by the Advisor to the minimum, or if a client account may be the initial account of two or more related
accounts that together will satisfy the minimum or other special circumstances exist.