Empyrion Wealth Management, Inc. (“Empyrion Wealth” or “the Firm”), is an SEC-registered
investment adviser with its principal place of business located in Roseville, California.
Empyrion Wealth Management, Inc. began conducting business in 1989.
Kimberly L. Foss, President, CEO of Empyrion Wealth Management, Inc., is the firm's founder
and principal shareholder (i.e., those individuals and/or entities controlling 25% or more of
this company).
Empyrion Wealth Management, Inc. offers the following advisory services to our clients:
WEALTH MANAGEMENT
Our firm provides continuous advice to clients regarding the investment of client funds based
on the individual needs of the client. Through personal discussions and/or discovery
questionnaires in which goals and objectives based on a client's particular circumstances are
established, we develop a client's personal investment policy and create and manage a
portfolio based on that policy. During our data-gathering process, we determine the client’s
individual objectives, time horizons, risk tolerance, and liquidity needs. As appropriate, we
also review and discuss a client's prior investment history, as well as family composition and
background.
We manage these advisory accounts on a discretionary or non-discretionary basis depending
on client preference. Account supervision is guided by the client's stated objectives (i.e.,
maximum capital appreciation, growth, income, or growth and income), as well as tax
considerations. Clients may impose reasonable restrictions on investing in certain securities,
types of securities, or industry sectors.
Our investment recommendations are not limited to any specific product or service offered by
a broker-dealer or insurance company and will generally include advice regarding the
following securities:
• Exchange-listed securities, including individual equities and exchange traded funds (ETFs);
• Corporate debt securities;
• Certificates of deposit;
• Municipal securities;
• Variable annuities;
• Mutual fund shares;
• United States governmental securities;
We will allocate the client's assets among various investments taking into consideration the
overall management style selected by the client. Mutual funds and ETFs will be selected on
the basis of any or all of the following criteria: the fund's performance history; the industry
sector in which the fund invests; the track record of the fund's manager; the fund's investment
objectives; the fund's management style and philosophy; and the fund's management fee
structure. Each client’s individual needs and circumstances will determine portfolio weighting
between funds and market sectors.
Because some types of investments involve certain additional degrees of risk, they will only
be implemented/recommended when consistent with the client's stated investment objectives,
tolerance for risk, liquidity and suitability.
EWM DIGITAL INVESTING
This program is no longer offered to new clients or existing clients opening new accounts.
Empyrion Wealth utilized the Betterment for Advisors service, a digital wealth management
platform provided by Betterment, LLC1 (“Betterment”), a registered investment advisor.
Betterment serves as a sub-advisor to Empyrion Wealth to certain existing clients. MTG LLC,
dba Betterment Securities (“Betterment Securities”), a registered broker-dealer and member
of FINRA and the SIPC, serves as broker-dealer and custodian for this service.
The services provided by Betterment include:
• Goal-Based Investment Management: Betterment’s goal-based investment
platform allows advisors and clients to identify multiple investment goals for each
client, each with specific portfolio allocations;
• Portfolio Construction Tools: Advisors and clients have access to a set of
portfolio strategies, each of which is comprised of low-cost, index-tracking
exchange-traded funds, and are able to customize the risk-level for each
investment goal;
• Automated Investment Management Services: Betterment’s algorithms
automate back-office tasks such as trading, portfolio management, tax loss
harvesting, and account rebalancing;
• Website and Mobile Application: Betterment’s website and mobile application
provide a platform for account access and monitoring and delivery of account
documentation and notices; and
• Advisor Dashboard: Advisors have access to a dashboard for purposes of
monitoring and managing client accounts.
1 Empyrion Wealth Management, Inc. and Betterment, LLC are not affiliated entities.
Clients are free to accept or ignore any or all recommendations and can hire Empyrion
Wealth or any other service provider for similar or the same services or products at costs that
can be higher or lower than those incurred by the client if implemented by Empyrion Wealth.
EWM DIGITAL SERVICES
This program is no longer offered to new clients or existing clients opening new accounts.
Empyrion Wealth provided an online and interactive financial planning platform supported by
eMoney Advisor, LLC1. Certain clients receive these services through EWM Digital and EWM
Digital Planning.
EWM Digital provides clients with the following services:
• Secure Personal Financial Website;
• DIY Goals-Based Financial Planning;
• Connect and Organize Financial Accounts;
• Online and Mobile Dashboard;
• Automate Budgeting and Monitor Spending;
• Project Your Balance Sheet & Net Worth;
• Manage and Analyze Cash Flow;
• Track and Evaluate Investments;
• Analyze Savings & Withdrawals; and
• Secure Document Vault
EWM Digital Planning provides clients with the same services as EWM Digital with the
following additional services:
• Your Personalized Financial and Retirement Plan — Recommendations, Action Plan
and Guidance;
• Analyze Your Pre-Retirement Readiness;
• Tax Analysis & Planning;
• College and Education Expenses Analysis;
• Estate Planning, Trust and Survivorship Needs;
•
Insurance Gap Analysis;
• Stock Options/Grants Analysis & Planning;
1 Empyrion Wealth Management, Inc. and eMoney Advisor, LLC are not affiliated entities.
• Annual Review Meeting with an EWM Advisor;
• Collaborate and Share Reports with Your Professional Team — CPA, Lawyer, Estate
Planner, Insurance Agent; and
• Email Support.
Add-on services available for all EWM Digital Services clients include:
• Portfolio Management Services for additional fees available under separate Wealth
Management Agreement. Please see Item 4 and Item 5 of our ADV brochure for more
information.
EWM Digital Planning is typically a comprehensive evaluation of a client’s current and future
financial state by using currently known variables to predict future cash flows, asset values
and withdrawal plans. Through the financial planning process, various questions, information
and analysis are considered as they impact and are impacted by the entire financial and life
situation of the client. Clients purchasing this service receive a written report which provides
the client with a detailed financial plan designed to assist the client achieve their financial
goals and objectives.
In general, the financial plan can address any or all of the following areas:
• Proactive tax strategies
• Financial life planning and coaching
• Monte Carlo Simulation
• Survivorship needs analysis and guidance
• Integration with wealth management services
• Future generation coaching
• Charitable Gift Planning
Empyrion Wealth gathers required information through an interactive discovery process.
Information gathered includes a client's current financial status, future goals and attitudes
towards risk. Related documents supplied by the client are carefully reviewed, including a
questionnaire completed by the client, and a written report is prepared. Should a client
choose to implement the recommendations contained in the plan, Empyrion Wealth suggests
the client work closely with their attorney, accountant, insurance agent, and/or stockbroker.
Alternatively, Empyrion Wealth may refer clients to such independent professionals in the
event that the client does not have an existing relationship. Utilization of these unaffiliated
professionals is strictly at the client’s discretion. Implementation of financial plan
recommendations is entirely at the client's discretion.
We evaluate the client’s assets, earnings, investments, retirement, and estate planning
considerations, liabilities and tax position and design an integrated plan providing an overall
long-range strategy for attaining financial goals. This written report will include, as necessary:
• Estate Analysis,
• Education,
• Rental and Residential Analysis,
• Investment Performance Summary Report, and
• Preliminary Employee Benefit or Retirement Plan Design.
MODULAR PLANNING
We may conduct a more focused analysis to address specific planning areas for the client. It
is important to understand that, while Modular Planning is not comprehensive, it is designed
to address specific questions, provide information about more specific decisions, or to
address other more specific needs of the client. Modular Planning Services may be similar or
different than standard EWM Digital Planning services, depending on the needs of the client.
Examples of Modular Planning Services include but are not limited to the following:
ESTATE PLANNING ANALYSIS
We may conduct an analysis of the client’s current and proposed estate plan and prepare an
analysis of tax calculations and settlement costs. We then prepare a written explanation of
the costs and computer analysis of various scenarios using different assumptions. This
service includes an analysis of property ownership and probate, application of tax
advantaged trusts, estimated federal estate tax; cost and liquidity situation reports, and
capital needs analysis. We will coordinate with the client’s attorney and accountant as
required.
EDUCATION EXPENSE ANALYSIS
We may assist the client in determining how to pay for a child’s education through an
educational needs funding analysis which projects the cost of meeting future educational
goals based on current and periodic investments and various rates of inflation. We will
prepare a written report which calculates lump sum, annual, or monthly savings, or
investment necessary to achieve educational objectives for one, or more children and
provides a strategy to finance this important expense.
PRE-RETIREMENT PLANNING
We may prepare a summary of the client’s present financial situation and a proposed
scenario for financing a comfortable retirement. This report will aggregate all income and
expenses to calculate the surplus or shortage for each year beginning with the client’s
desired retirement date and adjustments required to manage income shortfall. The report also
provides an analysis of existing pension assets and development of a strategy for pay out.
Typically, the financial plan is presented to the client within six months of the contract date,
provided that all information needed to prepare the financial plan has been promptly provided.
Financial Planning recommendations are not limited to any specific product or service offered
by a broker-dealer or insurance company. All recommendations are of a generic nature.
EWM DIGITAL CONSULTING
Clients of EWM Digital Planning may also receive additional financial or investment advice,
consultation, and administrative services based on their specific needs that go beyond the
needs of a typical EWM Digital Planning client. This may include advice on one or more
area(s) of concern such as estate planning, retirement planning, or any other topic relevant to
their financial goals.
Consulting recommendations are not limited to any specific product or service offered by a
broker-dealer or insurance company. All recommendations are of a generic nature.
AMOUNT OF MANAGED ASSETS
As of December 31, 2022, we were actively managing $238,000,000 of clients' assets on a
discretionary basis.