Why You Should Choose a Fiduciary Advisor to Manage Assets
When it comes to personal finance and your financial well-being, it can be hard to find a financial advisor that you trust. You need a financial advisor that can provide you and your family with sound and objective advice.
This is why you should choose a fiduciary as your financial advisor.
The fiduciary standard is one of the most important requirements within the financial service industry that protects investors.
What is a Fiduciary Advisor?
A Fiduciary Financial Advisor is an investment professional who is licensed with the United States Securities and Exchange Commission. Fiduciary Advisors are important for clients because they are legally required to put clients' interests ahead of their own.
A Fiduciary Advisor must:
- Place their interest below the interest of their client.
- Act in good faith and reveal any possible conflicts of interest to the client.
- They are obligated to ensure that the financial advice that they dispense is accurate and thorough.
- Avoid using clients assets to benefit themselves.
- Seek the best prices and terms for their clients.
You are getting a greater piece of mind when you choose a Fiduciary Financial Advisor. You know legally that the person managing your finances MUST make the decision in your best interest. Fiduciary advisors are much more transparent, this ensures that the decisions being made about your assets and financial future are the right ones.
Not all financial advisors are fiduciaries. If your current financial advisor is not a fiduciary, then they are only required to meet ‘suitability standards’ which allow for conflicts of interest. They still must ensure that excessive costs and trades won’t be made. However, they can still suggest products that might not exactly be in your best interest or that may benefit themselves more than they do you.
The Bottom Line
When choosing a financial professional to work with, you want to find one that holds the obligation to withstand a fiduciary duty. In the end, when choosing someone to manage your personal finances, you should find someone you can trust.
Interested in talking to a Financial Advisor you can trust?
At Correct Capital, we are both Fiduciary Advisors and CERTIFIED FINANCIAL PLANNERS™. We would love to build your trust, work with you and for you to help you reach your financial goals.
Meet one of our many Fiduciary Advisors. Click here.
Talk to one of our trusted Fiduciary Advisors today. Click here.