A fiduciary is legally and ethically bound to put your interests ahead of all others, including their own. Not all financial advisers are held to this standard.
Based on that, you might think that being a fiduciary would be like table stakes for a group of professionals you're supposed to trust with your money… but unfortunately, this isn't the case., which requires the adviser to put their clients' interest first. That actions, advice, and recommendations all must be aligned with what is, which only requires the adviser to provide advice that is suitable for you, but not necessarily best for you.
"If you're working with someone who gets paid a commission, there are inevitably conflicts of interest at hand," says Sara Gelsheimer, CFP®, AIF® and wealth manager atSay an adviser gets paid $2,500 to sell you XYZ product . But that same adviser could instead make $7,000 to sell you ABC product .
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