First Ascent Asset Management is doubling down on its support of flat fees by launching what it believes is the financial industry’s first flat fee ESG portfolios, the firm announced.

First Ascent, a flat fee turnkey asset management program based in Denver, said in the announcement the flat fee ESG portfolios are designed for advisors working with clients at all risk levels. The firm brought the flat fee concept to the world of TAMPs five years ago.

“Many people today are seeking ways to make the world a better place. One way is for them to align their values with their investments,” Scott MacKillop, First Ascent’s CEO, said in a statement. “Our new ESG offering gives investors at every risk level a low-cost opportunity to do so.”

“This gives advisors who work with us a low-cost way to satisfy clients who want to invest in an ESG manner. We put together portfolios that enhanced the ESG aspects while keeping the broadly diversified nature and meeting the performance of our other portfolios,” MacKillop said in an interview today.

Seventy percent to 80% of the First Ascent advisors’ clients will be well served by the portfolios we have developed; the rest may want customized selections that are more directed, he said.

The ESG Global Core portfolios are built primarily using funds that track ESG-oriented indexes. The funds emphasize investments that make a positive impact on environmental, social and corporate governance issues, while de-emphasizing those that do not, First Ascent said. The funds come in five different risk levels, ranging from 20% to 100% equity.

“The portfolios strike a balance between positive ESG impact, prudent portfolio management practices and performance characteristics that we believe are comfortable for most investors,” MacKillop said. “The goal is to improve investment results, while improving the world.”

As with all its portfolios, First Ascent charges 35 basis points with a capped household flat fee of $1,400 for the ESG Global Core portfolios. The fee covers performance reporting, billing, advisor support and account administration services. Once a household hits the cap, the fee is the same each year, First Ascent said.

The weighted internal expenses of the ETFs in the ESG Global Core portfolios range from .13% to .42% of AUM.

“Our goal is to make outsourcing portfolio management easy and affordable for advisors,” he said. “Advisors asked us to bring that concept to the ESG world and we did it.”