My Fiduciary Duty to Clients as a Registered Investment Advisor


I understand that most consumers who invest don’t fully understand the financial jargon of the word fiduciary. Since there are now new rules applying to the industry, I think it timely to briefly describe how I differentiate myself as a Registered Investment Advisor.

Below are some excerpts from a recent article by K. Foss of “How to Explain Fiduciary Duty to Clients” from OnWallStreet.com.

“The basics of best interests. Most prospective clients do not understand that Registered Investment Advisors and brokers are held to different standards. In fact, potential clients often react with disbelief when they learn that RIAs like me operate under a fiduciary oath and must always act in their clients’ best interests, while brokers are required to suggest suitable investments.

Anyone can call himself an advisor, but not everyone upholds the fiduciary standard. A fiduciary has a duty to always act in the client’s best interests even when they may conflict with my own interests. It is a duty that underscores the importance for our firm to be the foundation for client trust and satisfaction: character, chemistry, caring, competence, cost effectiveness and consultative.”

A duty that creates trust. I am deeply grateful that my new clients come through referrals.