A Matter of Duty

Unless your advisor is actually registered as an investment advisor, he or she will not be bound by a fiduciary duty to you. When selecting an advisor, make sure that advisor is on your side. It’s in your best interest to choose a fiduciary.

Fiduciary (adjective)

Of, relating to, or involving a confidence or trust – Merriam Webster Dictionary

Fiduciary (noun)

In law, a person who occupies a position of such power and confidence with regard to the property of another that the law requires him to act solely in the interest of the person whom he represents – Encyclopedia Britannica

One might assume that since clients place a special trust in their financial advisors, financial advisors would then owe a fiduciary duty to their clients. Unfortunately, most financial advisors are really commissioned salespeople who do not represent the interests of their clients.

"I do perceive here a divided duty.” – William Shakespeare

If your financial advisor accepts commissions, chances are that he or she is really either a Registered Representative of a brokerage firm, an Insurance Agent, or both.