Is your Financial Advisor a Fiduciary?

Is your Financial Advisor a Fiduciary?

May 27, 2020

Does your Financial Advisor listen to your temperament? Have you asked your advisor to be more conservative and he or she fought you on it? Could it be that the reason why some financial advisors do not listen to their clients when they want to move their assets into more conservative investments like individual bonds is to charge a commission?

According to a recent article on, “Financial advisors have a natural incentive to say no to opportunities that remove capital from the portfolios they are managing. It’s an unspoken conflict of interest that gets very little attention—the more clients remove money from their portfolios, the more it reduces compensation…this is short-term thinking that will ultimately backfire.”

This self-interest can morph into greed and selfishness. Have you ever felt like your advisor does not put your interests ahead of theirs? If so, it might be time to work with a fiduciary. Certified financial planners and Registered Investment Advisors take a pledge to put their clients’ interests ahead of their own.

This is known as acting as a fiduciary. Traditional stockbrokers are not held to the same standard, even if they have given themselves the title of “financial advisor.”

A fiduciary is a person who holds a legal or ethical relationship of trust with one or more parties. Typically, a fiduciary prudently takes care of money or other assets for another person. Chamberlin Financial Inc offers fee-based fiduciary advisory services now through Sound Income Strategies LLC an SEC Registered Investment Advisory Firm.