What is a fiduciary? Simply put, a fiduciary is someone in whom another has placed the utmost trust and confidence to manage and protect property or money. It is a relationship wherein one person has an obligation to act in the absolute best interests of another. Fancy titles, mere respect and general trust do not constitute a fiduciary relationship.
Surprisingly, many financial professionals do NOT have a fiduciary obligation to their clients. Rather, they have a fiduciary duty to their broker-dealer or insurance company. While they must adhere to a less-stringent suitability standard for clients, they are contractually obligated to put the best interests of themselves and their companies first, creating an inherent conflict of interest. In 2015 the Department of Labor proposed highly-debated new regulations that would extend fiduciary duty to financial advisors working with retirement plans under ERISA, but the new law was ultimately abandoned in 2018, leaving the industry to conduct business as usual.
Regardless of the annulled rule or its potential successor, we do have a fiduciary duty to our investment advisory clients under the 1940 Investment Advisers Act. We exercise uncompromising loyalty and care to our clients’ assets under management, and we always put the client first.
No one strategy fits everyone, which is why every client gets our undivided attention – from planning to execution to follow-up. We take a proactive approach to helping you develop a customized strategy that addresses your financial goals and objectives, using what we believe are the most efficient methods available.