The Fiduciary Standard says, “A broker or financial advisor must make every decision in the best interest of their client.” Sounds like the right thing to me. Why then are big firms fighting this standard?
Registered investment advisors must adhere to this fiduciary standard. But, registered representatives, such as financial advisors and consultants for big brokerage firms, only have to make suitable recommendations on their client’s behalf. If their recommendations aren’t in the best interest of their clients, then in whose best interest are they?
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