Zhang Financial LLC (Portage)

Name: Zhang Financial LLC
Address: 5931 Oakland Dr., Portage, MI, 49024
Telephone: 269-385-5888

Zhang Financial LLC is a large advisory firm based in Portage. It manages $2.71 billion of regulatory assets for 4,184 client accounts. It has been registered with the SEC as an adviser since 2011 and has operated in the jurisdictions of Arizona, California, Colorado, and 17 other states.

Zhang Financial provides financial planning services, portfolio management for individuals and small businesses, portfolio management for businesses and institutional clients, pension consulting services, and publication of newsletters. It prepares financial plans for more than 499 clients. On top of advisory services, the firm doesn't engage in other business activities.

Zhang Financial: assets under management

The assets under management (AUM) of Zhang Financial LLC is $2.71 billion. The firm's AUM has grown by 2039% since the beginning of its operation, and $3.52 million of the total AUM is attributable to clients outside of the United States.

The firm manages $1.37 billion in discretionary accounts and $1.34 billion in non-discretionary accounts. On average, the discretionary accounts where all decisions are made on behalf of the client hold $328.52 thousand each. Non-discretionary accounts, where clients actively manage their portfolios, generally hold around $95.93 million.

Zhang Financial has custody of $437.09 million in cash and securities for 540 clients in total but doesn’t act as a qualified custodian.

Investments

The firm invests in investment and business development companies the most. They account for 71% of the total AUM. The second-largest asset type is pooled investment vehicles, which make up 14% of the firm’s portfolio. Investments in government bonds form 6% of the total invested assets.

Fees & Commissions

The advisory firm has several streams of revenue. Clients pay Zhang Financial LLC for their services and products based on a percentage of assets under management, hourly charges, and fixed fees. Compensation based on assets under management promotes a long-term relationship between a client and the adviser and helps align mutual interests. These fees don’t include brokerage commissions, interest, taxes, and other account expenses.

What kind of clients Zhang Financial serves?

The firm provides services to individuals, charitable organizations, high net worth individuals, pension and profit sharing plans, and state or municipal government entities. The largest group of clients of Zhang Financial is high net worth individuals with 479 clients and $1.02 billion of assets under management. Among the 8 most similar advisory firms, Zhang Financial has the 4th highest percentage of high net worth individuals out of all clients.

The amount of regulatory assets under management is $2.71 billion for 1,338 clients that can include trusts, estates, and 401(k) plans and IRAs of individuals and their family members. None of the firm’s clients are foreign persons or businesses.

Zhang Financial doesn't advise any private funds.

Careers at Zhang Financial LLC

The company employs 29 people that are either part- or full-time employees. 41 percent of the employees work as investment advisers or researchers. 12 employees are registered as investment adviser representatives with the state securities authorities.

There isn’t anyone with the role of looking for and bringing in new clients on behalf of the firm. The firm compensates employees in addition to the salary for bringing in new clients. Employees don’t receive compensation from other entities for client referrals.

Direct owners and executive officers

Name	Entity	Date acquired	Ownership	Employer ID
Charles Cheng Zhang	Managing member	1 Dec 2011	75% - 100%	2149094
Lynn Ling Chen Zhang	Chief compliance officer	1 Dec 2011	Other	3125565

Based in Portage

The principal office where Zhang Financial LLC performs its advisory services is located at 5931 Oakland Dr., Portage, MI 49024, which is also the mailing address of the firm. An additional office of the firm is in Battle Creek, MI. It doesn’t run an office outside of the United States.

You can reach the main office by calling the phone number 269-385-5888 or by fax 269-385-5705. The normal business hours are 8:30-5:30 on Monday - Friday. You can find more information about the New York firm at zhangfinancial.com.