View Document Text
Part 2A of Form ADV: Mangan Wealth Management, Inc.
Brochure
August 4, 2025
Rick Mangan, CPA, PFS, CFP®
Mangan Wealth Management, Inc.
2611 NE 113th Street, Suite 300
Seattle, WA 98125
(206) 441-1980
www.manganwm.com
This brochure provides information about the qualifications and business practices
of Mangan Wealth Management, Inc. If you have any questions about the contents
of this brochure, please contact us at (206) 441-1980. The information in this
brochure has not been approved or verified by the United States Securities and
Exchange Commission or by any state securities authority.
Additional information about Mangan Wealth Management, Inc. is also is available
on the SEC’s website at www.adviserinfo.sec.gov. The CRD Number for Mangan
Wealth Management, Inc. is 143863.
References herein to Mangan Wealth Management, Inc. as a “registered investment
advisor” or any reference to being “registered” does not imply a certain level of skill
or training.
Item 2 – Material Changes
Item 4 was updated for advice regarding employer’s defined contribution plan
Item 4 was updated for assets under management.
Item 8 was updated to acknowledge ERISA fiduciary duty in ERISA governed
investments
Item 18 updated to reflect that Mangan Wealth Management does not solicit fees
of more than $1200, per client, six months or more in advance.
2
Item 3 - Table of Contents:
Page 3
o Advisory Business
Page 3
o Fees and Compensation
Page 4
o Performance-Based Fees and Side-By-Side Management
Page 4
o Types of Clients
Page 5
o Methods of Analysis, Investment Strategies, and Risk of Loss
Page 5
o Disciplinary Information
Page 5
o Other Financial Industry Activities and Affiliations
o Code of Ethics, Participation or Interest in Client Transactions
And Personal Trading
Page 5
Page 6
o Brokerage Practices
Page 6
o Review of Accounts
Page 6
o Client Referrals and Other Compensation
Page 6
o Custody
Page 7
o Investment Discretion
Page 7
o Voting Client Securities
Page 7
o Financial Information
Page 7
o Requirements for State-Registered Advisors
3
Item 4 - Advisory Business
Mangan Wealth Management, Inc. is a Registered Investment Advisory firm located in
Seattle, Washington. Mangan Wealth Management, Inc. was founded in 2005 and
became a state registered investment advisory firm in 2007 and is principally controlled
by the sole shareholder, Rick Mangan. We offer clients portfolio management where we
utilize modern portfolio theory to develop passive asset allocated portfolios. We also
offer financial planning to help clients budget, manage cash needs, and educational
funding analysis. Another service we offer is pension consulting for small business to
establish a Self Employed Pension (SEP IRA) plan. Our outlook has been derived
through extensive research of financial history, which is melded with proprietary
fundamental and technical analysis giving us an unique view of the financial landscape.
As an independent Registered Investment Advisor, Mangan Wealth Management, Inc. is
free to recommend any publicly available investments, and can tailor portfolios to the
specific needs of the client based on input most relevant to each individual client.
Furthermore, all client accounts are managed on a discretionary basis and are individually
segregated in the client’s own name at the brokerage firm acting as custodian for the
account. This structure helps all clients maintain the safeguards of the custodial
brokerage institution while simultaneously helping to ensure that Mangan Wealth
Management, Inc. has access to make discretionary decisions of how the client’s funds
will be utilized.
We offer personalized and ongoing discretionary advice and management for your
employer’s defined contribution (DC) plan, using the available investment options
through your plan. We will trade your account on an ongoing and periodical basis as
outlined in the Investment Policy Statement/Consulting Services Agreement.
As all clients have unique tax implications, risk tolerances, time horizons, and personal
biases, maintaining individual accounts on a discretionary basis helps to align each
client’s unique financial situation with the outlook of Mangan Wealth Management, Inc.
Assets Under Management:
U.S. Dollar Amount
Total Number of
Accounts
$185,000,000.00
175
Values as of 07/31/2025
Discretionary
Non-Discretionary
Total
$185,000,000.00
175
Item 5 - Fees and Compensation
Mangan Wealth Management, Inc. offers investment management services. Fees are
charged at an 1) annual percentage rate based on assets under management and/or 2)
fixed rate that is primarily used for tax return or tax consulting, this rate is determined
based on the nature and complexity of the issue at hand and will be discussed with the
4
client prior to engagement and/or 3) an hourly charge of $400/hr. Fees are typically
billed on a quarterly basis, in advance of the quarter, in the amount of ¼ of the agreed
upon annual rate. In almost all cases, the quarterly fee is debited directly from the client's
investment account(s), although in unique situations, the client could be billed directly.
While the ultimate fees paid to Mangan Wealth Management, Inc. are determined
between both Mangan Wealth Management, Inc. and the client in a mutual agreement,
the following fee grid provides our published rates:
Minimum Fee: $4,000 annually
Annual Fee of 1.00% for assets under $500,000
Annual Fee of 0.85% for assets of $500,001 to $3,000,000
Annual Fee of 0.60% for assets of $3,000,001 to $6,000,000
Annual Fee of 0.35% for assets of $6,000,001 and above
In all instances, the Adviser will send the client a written invoice, including the fee, the
formula used to calculate the fee, the fee calculation itself, the time period covered by the
fee, and, if applicable, the amount of assets under management on which the fee was
based and the name of the custodian(s) on your fee invoice. The Adviser will send these
to the client concurrent with the request for payment or payment of the Adviser’s
advisory fees. We urge the client to compare this information with the fees listed in the
account statement.
Should Mangan Wealth Management, Inc. or the client wish to terminate the contract
before the quarter has ended, Mangan Wealth Management, Inc. will refund the pro-rata
amount of quarterly fees based on the number of days remaining in the quarter.
Mangan Wealth Management, Inc. has no proprietary products, does not accept third
party fees for referrals or recommendations of client assets, receives no commissions,
mutual fund 12(b)-1 fees, or is in any other way compensated for any reason other than
the fee disclosed to clients as billed based on the assets under management. We have
absolutely no vested interest in making any recommendation unless Mangan Wealth
Management, Inc. believes it is in the best interest of the client.
However, clients can expect to incur fees outside of the scope of Mangan Wealth
Management, Inc. fees. Custodial fees, commissions, mutual fund and ETF expenses, to
name a few, are all costs incurred by the client. Mangan Wealth Management, Inc. seeks
to provide the investment option and/or custodial institution that allows for the client
account to be managed most efficiently. (Please see “Brokerage Practices” on page 5 for
more information about this.)
Item 6 - Performance-Based Fees and Side-By-Side Management
Mangan Wealth Management, Inc. does not have any conflicts of interest arising from
performance-based fees or side-by-side management arrangements.
5
Item 7 - Types of Clients
Mangan Wealth Management, Inc. primarily provides advice to individuals. We consider
our customer service and focus on performance as second to none. In an effort to
maintain these standards, we typically request a household account minimum of
$400,000.
Item 8 - Methods of Analysis, Investment Strategies, and Risk of Loss
Investing in securities and the financial markets in general involves risk. No method of
investing can be deemed “safe” through all financial markets, as capital loss, default risk,
and risk to purchasing power (inflation) all pose significant risks in different market
environments.
Mangan Wealth Management, Inc. attempts to mitigate these risks by evaluating where
each broad asset class resides within the larger secular market cycle and relative to
historical valuations. This proprietary analysis, based on a study of financial history, is
used to help determine the general valuation risk level of each broad asset class within
the confines of the entire portfolio.
ERISA / IRC Fiduciary Acknowledgment. When Mangan Wealth Management provides
investment advice to a client regarding the client’s retirement plan account or individual
retirement account, it does so as a fiduciary within the meaning of Title I of the
Employee Retirement Income Security Act (“ERISA”) and/or the Internal Revenue Code
(“IRC”), as applicable, which are laws governing retirement accounts. The way Mangan
Wealth Management makes money creates some conflicts with client interests, so
Mangan Wealth Management complies with impartial conducts standards that requires it
to act in the client’s best interest and not put its interests ahead of the clients. Under the
impartial conducts standards, Mangan Wealth Management must:
• Meet a professional standard of care when making investment recommendations (give
prudent advice);
• Never put its financial interests ahead of the client’s when making recommendations
(give loyal advice);
• Avoid misleading statements about conflicts of interest, fees, and investments;
• Follow policies and procedures designed to ensure that Mangan Wealth Management
gives advice that is in the client’s best interest;
• Charge no more than is reasonable for Mangan Wealth Management services; and
• Give the client basic information about conflicts of interest.
Reference Advisory Business section for additional information.
Item 9 - Disciplinary Information
Neither Rick Mangan nor Mangan Wealth Management, Inc. has ever been the subject of
any legal or disciplinary event relating to the business of investment advisor. There is
nothing material to disclose for any client or prospective client to evaluate in this regard.
6
Item 10 - Other Financial Industry Activities and Affiliations
Rick Mangan and Mangan Wealth Management, Inc. provide CPA services.
Item 11 - Code of Ethics, Participation or Interest in Client
Transactions and Personal Trading
As Rick Mangan and Mangan Wealth Management, Inc. firmly believe in the advice
offered to clients, we often invest in the same (or related) securities as those
recommended to clients. To overcome any conflicts of interest due to price fills, Mangan
Wealth Management, Inc. makes every effort to aggregate prices of the transaction (on
the same day, for the same security, at or about the same time) to ensure that all parties
receive the same price.
However, trades cannot always be executed at the same time or even on the same side of
the market. Unique financial circumstances may cause the same or similar securities to be
bought or sold regardless of the near-term outlook recommended by Mangan Wealth
Management, Inc. In all such cases, every trade is pre-allocated for the specific individual
client account to ensure that the price they receive is the price relevant to their specific
trade.
Mangan Wealth Management, Inc. makes every effort to avoid all potential conflicts of
interest. By aggregating trades for multiple accounts on the same transaction, or (when
necessary) pre-allocating all other trades that are account specific, Mangan Wealth
Management, Inc. avoids any such conflicts or preferential treatment.
Item 12 - Brokerage Practices
Rick Mangan and Mangan Wealth Management, Inc. recommend that clients of Mangan
Wealth Management, Inc. utilize TD Ameritrade or Charles Schwab as their broker-
dealer. Neither Rick Mangan nor Mangan Wealth Management, Inc. receive any
compensation or otherwise receive any financial benefits from this recommendation. The
recommendation is strictly due to the fact that Mangan Wealth Management, Inc.
believes TD Ameritrade provides among the lowest overall costs in the industry for both
transactions and custodial costs, while simultaneously providing a user-friendly platform
for both client and advisor. Mangan Wealth Management, Inc. also recommends that
clients provide Mangan Wealth Management, Inc. with a Limited Trading Authorization
for these accounts so that Mangan Wealth Management, Inc. can make transactions on
the client’s behalf.
Item 13 - Review of Accounts
Rick Mangan reviews all client accounts for Mangan Wealth Management, Inc. at least
quarterly, in conjunction with quarterly reports to maintain client objectives.
Additionally, all client accounts holding specific securities are reviewed each time a
7
material change in the underlying security warrants a review of the position size within
the portfolio. Furthermore, a client’s portfolio is reviewed prior to any recommendation
in order to maintain allocations within the client’s stated risk profile.
Item 14 - Client Referrals and Other Compensation
Neither Rick Mangan nor Mangan Wealth Management, Inc. provide any incentive,
arrangement, or economic benefit for client referrals to Mangan Wealth Management,
Inc.. Furthermore, Rick Mangan and Mangan Wealth Management, Inc. do not receive
any incentive, arrangement, or economic benefit for referring clients to any specific
securities. Any benefits received in the future for client investment recommendations
would be purely coincidental and outside of the purview of Rick Mangan and Mangan
Wealth Management, Inc. Neither Rick Mangan nor Mangan Wealth Management, Inc.
make any arrangements for economic benefit or incentive when making investment
recommendations on behalf of clients and prospective clients.
Item 15 - Custody
Neither Rick Mangan nor Mangan Wealth Management, Inc. have any direct custody of
client accounts, other than the arrangement to deduct fees directly from the client
account(s) at the custodial institution (which is verified and processed by the custodial
financial institution). Statements are sent directly from the custodial firm, which also
match the quarterly billing invoices from Mangan Wealth Management, Inc..
Item 16 - Investment Discretion
Mangan Wealth Management, Inc. maintains discretionary authority over client accounts.
Item 17 - Voting Client Securities
Neither Rick Mangan nor Mangan Wealth Management, Inc. have the authority to vote
by proxy on behalf of clients. Clients receive their proxies or other solicitations directly
from the custodial institutional housing their securities, unless they have opted out. If
they have opted out the proxies and other solicitations are receiving by Mangan Wealthh
Management with the understanding that we do not participate in proxy voting and we do
not advise in regards to proxy voting.
8
Item 18 - Financial Information
Mangan Wealth Management, Inc. does not require or solicit prepayment of more than
$1.200 in fees per client, six months or more in advance.
Mangan Wealth Management, Inc. is not aware of any financial condition that is
reasonably likely to impair its ability to meet its contractual commitments relating to its
discretionary authority over certain client accounts.
Mangan Wealth Management, Inc., has not been the subject of a bankruptcy petition.
9