A fiduciary is a professional advisor who is 100% committed to putting your financial interests ahead of his or her own. Many times financial advisors or planners, including stock brokers, insurance representatives and others who “sell” investments are not held to this standard. At best, they're held to a “suitability” or lesser standard, which means they're supposed to reasonably believe that the investments they recommend are suitable for your situation. Justifiably so, many people don't understand the distinction between fiduciary and suitability standards.
This is where education is vital. We inform our clients about the meaning of being a fiduciary and how to understand which professionals hold themselves accountable. We like our clients to be pro-active, and don't mind if they ask us the “tough” questions such as:
- Are you legally obligated to act in my best interest at all times?
- Will you disclose all potential conflicts of interest?
- In what ways are you compensated?
The question is simple: Who would you rather have managing your financial future, someone held to a lesser standard or someone held to a higher standard?
We are very proud that we have never had a breach of fiduciary duty—and we never will. This is our commitment to you.
"Investors should understand that working with an advisor that is a fiduciary does not guarantee that they will experience greater investment performance or reduced losses as compared to working with an advisor that is not acting as a fiduciary