Fortitude Family Office, LLC (“Fortitude or the “Firm”) is an investment advisor registered with the United
States Securities and Exchange Commission (“SEC”) and is a Limited Liability Company formed under the
laws of the State of Arizona. Fortitude was founded in 2021 and is principally owned by our Chief Executive
Officer, Matthew Walker, through a holding company and his related estate planning entities.
Fortitude Family Office LLC (“Fortitude” or the “Firm”) provides investment management and financial
advice to a community of primarily high-net-worth individuals, families, and their related entities, including
trusts and estates, as well as charitable organizations, foundations, donor-advised funds, and other clients.
Client Assets Managed by Fortitude Family Office
As of June 2023, Fortitude manages a total of $365,824,561 in assets under management. $326,876,784
in discretionary assets under management and $38,947,777 in non-discretionary assets under
management. Fortitude also has $324,207,728 in assets under advisement for a combined total of
$690,032,289 (“Managed Assets”). In addition, Fortitude Family Office considers our clients’ full net worth
when developing plans and strategic recommendations and typically reports on a fully consolidated basis.
In that context, we advise on wealth in excess of $2 billion.
General Description of Primary Advisory Services
Investment Management:
We support our families in the role of Chief Investment Officer, committed to providing tailored investment
management advice. Our main responsibility is creating a portfolio that is specifically designed for each of
our client’s families. Our commitment involves dedicating meaningful time to align constituents and
objectives, crafting an investment portfolio that captures this understanding, and maintaining ongoing
communication and reporting to keep clients fully informed. Our focus is centered on delivering the following
investment services:
As a part of our advisory partnership and investment process, Fortitude collaborates with each client to
evaluate their distinctive financial circumstances and create a personalized Investment Policy Statement
("IPS"). This IPS represents the client's comprehensive investment objectives, limitations, and constraints.
Periodically updated, the IPS enables strategic investment planning and the execution of the client's
portfolio based on their specific investment guidelines, risk objectives, liquidity requirements, as well as any
distinct investment goals encompassing environmental, social, and governance ("ESG") factors or
restrictions, and impact considerations.
Fortitude utilizes the IPS of each client to develop a comprehensive and strategic asset allocation, investing
the Managed Assets across a range of investment strategies in the following ways: (i) via separate accounts
sub-advised by external advisors (“Separate Accounts”), (ii) directly in exchange-traded funds (“ETFs”),
mutual funds, and other investments, including pooled investment vehicles managed by third parties
(“Direct Investments”), and/or (iii) directly in Fortitude-sponsored and managed pooled investment vehicles
(“Access Vehicles”, and together with Separate Accounts and Direct Investments, the client’s “Portfolio”).
This approach allows for tailored customization of each Portfolio to meet the specific needs of the client.
Fortitude also offers advice on diversification strategies and other advisory services related to assets not
included in the Managed Assets, such as concentrated equity or significant holdings in real estate, subject
to the terms of the client agreement.
Our team conducts extensive research on capital markets and asset classes in order to uncover thematic
opportunities for effective allocation of Managed Assets. We maintain constant communication with our
clients to keep them fully informed about our research and perspectives on their Portfolio. Many of our
families are active in direct investing in other private businesses and real estate. Fortitude strengthens
these endeavors by conducting thorough evaluations and assessments to determine the suitability of the
investment in relation to their objectives and needs.
Fortitude oversees portfolios based on both discretionary and, in certain instances, non-discretionary
criteria, in accordance with client preferences. Clients have the flexibility to set reasonable restrictions on
Fortitude's authority, such as limitations on securities types and specific securities for their Portfolio.
On an ongoing basis, Fortitude will address client inquiries about their accounts and regularly assess their
account performance. Fortitude will periodically examine clients' investment goals and risk profiles,
engaging in discussions about rebalancing accounts to the extent appropriate. Additionally, Fortitude will
provide any separate account managers with updated financial information or account restrictions as
needed.
For Separate Accounts, the Firm selects sub-advisors on behalf of clients to manage portions of their
Managed Assets in each case pursuant to the terms and conditions of an agreement with the relevant sub-
advisor. For Access Vehicles, the Firm selects the underlying investments, either in a fund managed by
another advisor or in direct investments or co-investments. Where appropriate, Fortitude, or a third-party
engaged by Fortitude, conducts initial due diligence on, and monitors on a periodic basis, such sub-
advisors, managers, and other investments. Fortitude typically negotiates the fees to be paid by clients.
Wealth Management & Family Office Services:
In addition to managing the client's investment portfolio, Fortitude provides additional wealth management
services to clients based on their unique circumstances and needs. Such services may include consulting
with clients on various financial areas, including income and estate tax planning, financial planning,
business sale structures, college financial planning, retirement planning, insurance and risk management
analysis, personal cash flow analysis, establishment and design of retirement plans and trust designs,
among other things.
For our Family Office clients, we assume the responsibilities similar to that of a Chief Financial Officer. In
this role, we support families in
the following ways:
• Coordination of administrative activities
• Cash management and money transfers
• Development and oversight of family office internal controls
o Includes existing family administrative personnel, outside accountants or vendors
• Oversight of bill pay activities, vendor selection, etc.
• Annual planning and objective setting across disciplines: tax, estate, legal, and accounting
• Evaluation and selection management of key advisors
• Secure document storage and paper flow management
o Includes contracts, agreements, tax and estate documents, etc.
• Net worth reporting & analysis
• Preparation of consolidated balance sheets at family group and individual levels
• Oversight, coordination, and preparation of entity-level accounting
o Includes personal accounts, trusts, Investment holding companies, foundations, direct
investments, etc.
• Cash flow and spending analysis
• Custom reporting and analysis, as necessary
• Risk management and insurance adequacy assessment
• Multi-year budgeting and capital sufficiency, planning and analysis
• Detailed scenario analysis of projected net worth, spending, and cash flow for family group and
individuals
• Budget setting and ongoing monitoring
• Spending analysis
• Project analysis – residential purchases, private aviation, direct investment activities
• Coordination with family operating business executives to integrate budgeting, planning and
analysis as it impacts the family
• Tax, trust, and estate coordination
• Consolidation of tax documents and supporting information for annual tax preparation and
compliance
• Coordination of estate, wealth transfer, and tax planning with family advisors and family operating
business personnel, etc.
• Processing of tax payments, including estimated payments
• Administration and implementation of estate and tax planning decisions
• Oversight of administrative and corporate trustee activities, including selection of third-party trust
administration
• Administration of charitable giving strategies and implementation, including oversight of foundation
accounting and administration
Fortitude frequently evaluates the sufficiency of existing life insurance, long-term care, and disability
coverage. We assist in determining future needs and may suggest collaborating with a third-party provider
offering insurance products. Clients are not obligated to purchase any recommended insurance products.
IRA Rollover Recommendations:
For purposes of complying with the DOL's Prohibited Transaction Exemption 2020-02 ("PTE 2020-02"),
when applicable, Fortitude is providing the following acknowledgment to clients. When the Firm provides
investment advice to clients regarding their retirement plan account or individual retirement account,
Fortitude is a fiduciary 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 the Firm
makes money creates some conflicts with client interests. Fortitude operates under an exemption that
requires the Firm to act in the clients’ best interest and not put the Firm’s or its employees’ interest ahead
of the clients. Under this exemption, Fortitude must:
• Adhere to a professional standard of care when providing investment recommendations (offer
prudent advice)
• Put the clients' interests before the Firm's or its employees' financial interests at all times when
making recommendations (offer loyal advice)
• Avoid making misleading statements about conflicts of interest, fees, and investments
• Follow policies and procedures intended to ensure that the Firm and its employees provide advice
that is in the best interest of the clients
• Charge a reasonable fee for services rendered
• Provide clients with essential information about any conflicts of interest
Fortitude benefits financially from the transfer of clients' retirement assets to an account managed or
advised by the Firm. This transfer increases the Firm's assets under management and, consequently, its
advisory fees. As a fiduciary, Fortitude suggests a rollover only when both the Firm and its employees truly
believe it is in the clients' best interest.
Advisory Services Tailored to the Individual Needs of Clients
Fortitude Family Office services are based on the individual needs of each client. Depending on the size
and complexity of the client, our scope of services may vary meaningfully. All engagements are supported
by a mutually agreed-upon scope of services. We review our services with clients on an annual basis to
determine whether we would need to expand or contract our level of support depending on their needs.
Advisory services to clients, including clients that are private funds / pooled investment vehicles (including
Fortitude Private Lending, L.P. or any future private fund created by Fortitude, collectively, the “Funds”) are
provided by Fortitude and by certain affiliated special purpose vehicles, including Fortitude GP I, LLC, an
Arizona limited liability company (“GP I”) and such other special purpose vehicles that Fortitude or its
affiliated persons may establish from time to time established to serve as the general partner, managing
member, or similar capacity, together with GP I, (the “SPVs”). Fortitude and/or the SPVs providing
investment advisory services to any client shall be referred to as the “Fortitude”).
Assets Not Advised by Fortitude Family Office
At times, clients request Fortitude to transact in and/or oversee certain securities or other assets that
Fortitude does not advise on. If deemed appropriate based on the client’s individual needs and the
circumstances, Fortitude will agree to provide such services and will also consider the impact of such
securities or other assets in its overall asset allocation recommendations. However, Fortitude is not
obligated to provide investment advice on such securities or other assets for which it does not regularly
provide investment management services or on non-advised assets.
Fortitude does not participate in any wrap fee programs.