Item 5 - Additional Compensation .......................................................................................................................... 21
Item 6 - Supervision ..................................................................................................................................................... 21
Brochure Supplement (Part 2B of Form ADV) .......................................................................... 23
Principal Executive Officer – Don McKinley, ChFC®, CLU® ........................................................................... 23
Item 2 - Educational Background and Business Experience ....................................................................... 23
Item 3 - Disciplinary Information ........................................................................................................................... 24
Item 5 - Additional Compensation .......................................................................................................................... 24
Item 6 - Supervision ..................................................................................................................................................... 24
Brochure Supplement (Part 2B of Form ADV) .......................................................................... 26
Principal Executive Officer – Zachary S. Wagganer ......................................................................................... 26
Item 2 - Educational Background and Business Experience ....................................................................... 26
Item 3 - Disciplinary Information ........................................................................................................................... 26
Item 5 - Additional Compensation .......................................................................................................................... 26
Item 6 - Supervision ..................................................................................................................................................... 26
Firm Description
Fortify Wealth, Inc. (Fortify Wealth) formerly known as Financial Resources of St. Louis,
Inc. was founded in 1984 and began offering investment advisory services in 2018. John
and Don McKinley are 55% and 45% owners respectively.
Types of Advisory Services
ASSET MANAGEMENT
Fortify Wealth offers discretionary asset management services to advisory Clients. Fortify
Wealth will offer Clients ongoing asset management services through determining
individual investment goals, time horizons, objectives, and risk tolerance. Investment
strategies, investment selection, asset allocation, portfolio monitoring and the overall
investment program will be based on the above factors. The Client will authorize Fortify
Wealth discretionary authority to execute selected investment program transactions as
stated within the Investment Advisory Agreement.
VARIABLE ANNUITY AND VARIABLE LIFE MANAGEMENT
Fortify Wealth offers discretionary direct asset management services to advisory clients on
their variable annuities and variable life products. Fortify Wealth will work with
individuals to assemble an appropriate portfolio of investment options as provided
through the insurance company that services variable annuity investments. The accounts
will be monitored on an annual basis.
FINANCIAL PLANNING AND CONSULTING
If financial planning and consulting services are applicable, Fortify Wealth shall prepare a
written financial plan for Clients. The Client may compensate Fortify Wealth on an hourly
or flat fee basis described in detail under the “Fees and Compensation” section of this
brochure. Fortify Wealth’s financial planning services may involve consultation, analysis,
and recommendations in the following areas of financial planning, which include (1) cash
flow planning; (2) income tax planning; (3) risk management, asset protection and
insurance; (4)investments; (5) retirement planning; and (6) estate, gift and wealth transfer
planning (7) charitable planning (8) education planning.
In order to determine a suitable course of action for an individual Client, Fortify Wealth will
perform a review of the variables that are presented. This review may include, but is not
limited to, investment objectives, consideration of overall financial condition, income and
tax status, personal and business assets, risk profile, and other factors unique to the Client’s
particular circumstances.
Fortify Wealth will review the Client’s present financial situation and issue a written
analysis and report of recommendations in accordance with the Client’s goals and
objectives. This service may include an initial consultation and subsequent follow-up visits.
The services provided in this regard may include but are not limited to the following:
• Prepare an annual net worth statement;
• Create a cash flow statement;
• Review current investments and make recommendations thereon;
• Review most recent tax returns and provide tax planning advice;
• Review life insurance and disability insurance and make recommendations thereon;
• Review estate plan and make recommendations thereon;
• Complete a retirement analysis; and
• Provide education planning advice.
If a conflict of interest exists between the interests of Fortify Wealth and the interests of the
Client, the Client is under no obligation to act upon Fortify Wealth’s recommendation. If the
Client elects to act on any of the recommendations, the Client is under no obligation to
effect the transaction through Fortify Wealth. Financial plans or consulting services will be
completed and delivered within one hundred and twenty (120) days of Client providing all
required documents.
The goals and objectives for each Client are documented in our Client files. Investment
strategies are created by Fortify Wealth that reflect the stated goals and objectives of the
Client.
Agreements may not be assigned without prior written Client consent.
ERISA PLAN SERVICES
Fortify Wealth provides service to qualified retirement plans including 401(k) plans,
403(b) plans, pension and profit sharing plans, cash balance plans, and deferred
compensation plans. Fortify Wealth may act as either a 3(21) or 3(38) advisor:
Limited Scope ERISA 3(21) Fiduciary. Fortify Wealth may serve as a limited scope ERISA
3(21) fiduciary that can advise, help and assist plan sponsors with their investment
decisions on a non-discretionary basis. As an investment advisor Fortify Wealth has a
fiduciary duty to act in the best interest of the Client. The plan sponsor is still ultimately
responsible for the decisions made in their plan, though using Fortify Wealth can help the
plan sponsor delegate liability by following a diligent process.
1. Fiduciary Services are:
• Provide non-discretionary investment advice to the Client about asset classes and
investment alternatives available for the Plan in accordance with the Plan’s
investment policies and objectives. Client will make the final decision regarding the
initial selection, retention, removal and addition of investment options. Fortify
Wealth acknowledges that it is a fiduciary as defined in ERISA section 3 (21) (A) (ii).
• Assist the Client in the development of an investment policy statement (“IPS”). The
IPS establishes the investment policies and objectives for the Plan. Client shall have
the ultimate responsibility and authority to establish such policies and objectives
and to adopt and amend the IPS.
• Provide non-discretionary investment advice to the Plan Sponsor with respect to
the selection of a qualified default investment alternative for participants who are
automatically enrolled in the Plan or who have otherwise failed to make investment
elections. The Client retains the sole responsibility to provide all notices to the Plan
participants required under ERISA Section 404(c) (5) and 404(a)-5.
• Assist in monitoring investment options by preparing periodic investment reports
that document investment performance, consistency of fund management and
conformance to the guidelines set forth in the IPS and make recommendations to
maintain, remove or replace investment options.
• Meet with the Client on a periodic basis to discuss the reports and the investment
recommendations.
2. Non-fiduciary Services are:
• Assist in the education of Plan participants about general investment information
and the investment alternatives available to them under the Plan. Client
understands Fortify Wealth’s assistance in education of the Plan participants shall
be consistent with and within the scope of the Department of Labor’s definition of
investment education (Department of Labor Interpretive Bulletin 96-1). As such,
Fortify Wealth is not providing fiduciary advice as defined by ERISA 3(21)(A)(ii) to
the Plan participants. Advisor will not provide investment advice concerning the
prudence of any investment option or combination of investment options for a
particular participant or beneficiary under the Plan.
• Assist in the group enrollment meetings designed to increase retirement plan
participation among the employees and investment and financial understanding by
the employees.
Fortify Wealth may provide these services or, alternatively, may arrange for the Plan’s
other providers to offer these services, as agreed upon between Advisor and Client.
3. Fortify Wealth has no responsibility to provide services related to the following types of
assets (“Excluded Assets”):
• Employer securities;
• Real estate (except for real estate funds or publicly traded REITs);
• Stock brokerage accounts or mutual fund windows;
• Participant loans;
• Non-publicly traded partnership interests;
• Other non-publicly traded securities or property (other than collective trusts and
similar vehicles); or
• Other hard-to-value or illiquid securities or property.
Excluded Assets will not be included in calculation of Fees paid to Fortify Wealth on the
ERISA Agreement. Specific services will be outlined in detail to each plan in the 408(b)2
disclosure.
ERISA 3(38) Investment Manager. Fortify Wealth can also act as an ERISA 3(38)
Investment Manager in which it has discretionary management and control of a given
retirement plan’s assets. Fortify Wealth would then become solely responsible and liable
for the selection, monitoring and replacement of the plan’s investment options.
1. Fiduciary Services are:
• Fortify Wealth has discretionary authority and will make the final decision
regarding the initial selection, retention, removal and addition of investment
options in accordance with the Plan’s investment policies and objectives.
• Assist the Client with the selection of a broad range of investment options consistent
with ERISA Section 404(c) and the regulations thereunder.
• Assist the Client in the development of an investment policy statement (“IPS”). The
IPS establishes the investment policies and objectives for the Plan.
• Provide discretionary investment advice to the Plan Sponsor with respect to the
selection of a qualified default investment alternative for participants who are
automatically enrolled in the Plan or who have otherwise failed to make investment
elections. The Client retains the sole responsibility to provide all notices to the Plan
participants required under ERISA Section 404(c) (5).
2. Non-fiduciary Services are:
• Assist in the education of Plan participants about general investment information
and the investment alternatives available to them under the Plan. Client
understands Fortify Wealth’s assistance in education of the Plan participants shall
be consistent with and within the scope of the Department of Labor’s definition of
investment education (Department of Labor Interpretive Bulletin 96-1). As such,
Fortify Wealth is not providing fiduciary advice as defined by ERISA to the Plan
participants. Fortify Wealth will not provide investment advice concerning the
prudence of any investment option or combination of investment options for a
particular participant or beneficiary under the Plan.
• Assist in the group enrollment meetings designed to increase retirement plan
participation among the employees and investment and financial understanding by
the employees.
Fortify Wealth may provide these services or, alternatively, may arrange for the Plan’s
other providers to offer these services, as agreed upon between Fortify Wealth and Client.
3. Fortify Wealth has no responsibility to provide services related to the following types of
assets (“Excluded Assets”):
• Employer securities;
• Real estate (except for real estate funds or publicly traded REITs);
• Stock brokerage accounts or mutual fund windows;
• Participant loans;
• Non-publicly traded partnership interests;
• Other non-publicly traded securities or property (other than collective trusts and
similar vehicles); or
• Other hard-to-value or illiquid securities or property.
Excluded Assets will not be included in calculation of Fees paid to the Adviser on the ERISA
Agreement. Specific services will be outlined in detail to each plan in the 408(b)2
disclosure.
SEMINARS AND WORKSHOPS
Fortify Wealth holds seminars and workshops to educate the public on different types of
investments and the different services they offer. The seminars are educational in nature
and no specific investment or tax advice is given.
Client Tailored Services and Client Imposed Restrictions
The goals and objectives for each Client are documented in our Client files. Investment
strategies are created that reflect the stated goals and objectives. Clients may impose
restrictions on investing in certain securities or types of securities.
Because the firm is a registered investment adviser, we are required to meet certain
fiduciary standards when providing investment advice to clients. Additionally, when we
provide investment advice related to a retirement plan account or an individual retirement
account, we are considered 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. As such, we are required to act in your best interest
and not put our interest ahead of yours, even though our compensation creates some
conflicts with your interests in that the more you have us manage, the more we can earn.
Our clients however are under no obligation to use services recommended by our
associated persons. Furthermore, we believe that our recommendations are in the best
interests of our clients and are consistent with our clients’ needs.
Agreements may not be assigned without written Client consent.
Wrap Fee Programs
Fortify Wealth does not sponsor any wrap fee programs.
Client Assets under Management
As of December 31, 2023, Fortify Wealth has $122,548,309 in discretionary assets under
management.