When you pay for financial advice, you expect that advice is given in your best interest. However, this isn’t the experience for many. Last month, the Department of Labor issued a ruling that sets a path for a fiduciary standard, calling for a higher level of disclosure to ensure consumers have a better understanding of what they’re paying for. In essence, a fiduciary standard requires that an advisor put your best interests in front of their own.
A fiduciary standard is what everyone assumes they’re getting when receiving financial advice. It puts the advisor on the same side of the table as the client. It impels the advisor to disclose conflicts of interest. And, to the discomfort of some advisors promoting the fiduciary standard, it puts all advisors on the same playing field.
Financial advice delivered by a professional who not only understands the financial landscape, but also connects your experiences and desires with a carefully worked out plan, will put more consumers seeking financial advice on a path to greater financial freedom.
To learn more about a fiduciary standard, check out this article in The Arizona Republic, Stricter standards loom for investment advice.
