Do I want a Fiduciary Financial Advisor?
More than Money with Gene Dickison Answers:
“Do I want a Fiduciary Financial Advisor?”
It depends . . . do you want an advisor who places your best interests first?
The term fiduciary is not one most folks (lawyers aside) are familiar with.
In simple terms, a fiduciary (financial advisor or any other) is legally required to place the best interests of their client ahead of their own best interest.
Financial advisors can be found in three major groups. The first are fiduciaries (often compensated by fees) with the traits we just mentioned. The second are non-fiduciaries (often getting paid commissions). The third are ‘hybrid’ advisors who can serve their clients either way.
Our industry is currently in turmoil over this issue. I don’t think you need to be.
Clearly, given a choice they understand, clients want an advisor who places the client’s interest above their own.
Is your financial advisor a fiduciary?
© 2015 More than Money and Gene Dickison