What Is a Fiduciary Financial Advisor?

A fiduciary financial advisor is legally required to act in the client's best interest — disclosing conflicts of interest, avoiding unsuitable recommendations, and placing the client's financial well-being ahead of the adviser's own compensation or the firm's revenue interests.

Registered Investment Advisers (RIAs) are held to this standard by the SEC under the Investment Advisers Act of 1940. To verify an adviser's registration and background, the SEC's Investment Adviser Public Disclosure database (IAPD) is publicly accessible at adviserinfo.sec.gov. You can look up any RIA's Form ADV for fee disclosures, conflict disclosures, and disciplinary history.

For educational purposes. Registration as an investment adviser does not imply a certain level of skill or training.