Newly registered investment advisor Causey Wealth has hit the ground running with $292 million in assets under management after it spun off earlier this month from the accounting firm that birthed it.
Denver-based Causey Wealth is led and owned by co-founders Nathanael Koch and Robb Stone, who previously ran the wealth management group at Causey, Demgen & Moore, an accounting, auditing and management consulting firm. Koch and Stone both have 50% ownership, according to the firm’s Form ADV.
Koch did not return a call for comment.
The firm, which was approved by the Securities and Exchange Commission on June 12, has six employees, all of whom have advisory functions, the Form ADV said. The $292 million comes from 41 individual clients and 105 high-net-worth clients.
According to the Form ADV Part 2A firm brochure, Causey Wealth’s operations and ownership are no longer tied to Causey, Demgen & Moore.
“Our Colorado-based firm was founded in 2024 and is a privately held company owned by its members, all of whom are current employees of the entity,” the brochure said. “Due to growth of the practice over the prior decade, the principals chose to spin the wealth management component out of the prior firm in which they were owners.”
Koch joined Causey, Demgen & Moore in 2007 and was president at the accounting firm before launching Causey Wealth. He also served as a wealth management principal and chief compliance officer and served on the accounting firm’s investment committee. According to his bio there, he specialized in high-net-worth clients who depended on their portfolios for an income stream.
Stone joined Causey, Demgen & Moore in 2013 as chief investment officer, becoming a wealth management principal in 2015. He specialized in both high-net-worth clients and institutions. Before joining the accounting firm, he had worked for Credit Suisse for 11 years on the institutional side.
The co-founders were joined by at least one other former staffer from the accounting firm, Stephen Warren. According to Causey Wealth’s brochure, he has joined as senior analyst and senior manager, after working at Causey, Demgen & Moore since 2016. He will provide portfolio management and financial planning services to clients and he’ll sit on the investment committee.
The new firm’s Form ADV relationship summary says it caters to high-net-worth individuals, families, and institutional clients who “understand the value of investment management grounded in sound financial planning objectives.”
“It is from the development of the financial plan that we determine the client’s targeted rate of return and then build an investment policy statement to best achieve their long-term income and growth objectives,” the summary said. “We primarily use low-cost mutual funds, exchange-traded funds (ETFs), U.S. Treasuries and agency securities.”
The firm will also use interval funds or tender offer funds where appropriate, according to the brochure.
Causey, Demgen & Moore first registered as an RIA in 1990, so Causey Wealth already has the wealth management apparatus in place to serve clients with financial planning, investment advisory services, trust and trustee services and litigation support, the brochure said.
Advisory fees range from 0.50% to 1.00%, depending on portfolio size, and while there is no minimum account size at Causey Wealth, the minimum annual fee is $15,000.
Brokerage and custody are handled by Charles Schwab.
Causey, Demgen & Moore, the accounting firm, also offers commercial mortgage-backed security services, tax advisory, valuation and litigation, audit and assurance. Its most recent Form ADV listed $435 million in assets under management for its wealth management arm, with one charity and four government entities as clients in addition to the individuals and high-net-worth individuals now at Causey Wealth.
Koch served as president and chief compliance officer for the very much co-owned accounting firm, where seven principals held between 5% and 10% ownership. Causey, Demgen & Moore’s website, however, now lists Heath Borer as the firm’s president beginning sometime this year.
The Causey, Demgen & Moore website has yet to be updated with the departure of Koch, Stone and Warren. It explains that within the firm, the wealth management group was a fee-only wealth management practice and a member of the financial planning division of the American Institute of Certified Public Accountants. One of its big selling points was the breadth of its relationships with clients in various parts.
“Causey maintains relationships with tax accountants, attorneys, business advisors, insurance agents, consultants, bankers, M&A experts, and real estate professionals who focus their practice on meeting the needs of high-net-worth clientele,” the website said. “We bring all the pieces together to help you to preserve and grow your wealth.”