Investment management is the discretionary authority given to an Advisor in order to create a portfolio of assets that achieve the specific goals of the investor. Selecting the right Advisor is one of the most important decisions you can make regarding your financial life, yet selecting an Advisor can be confusing.
Professionals that manage investments and wealth can hold a variety of titles, including Financial Advisor, Wealth Manager, Financial Planner among others.
Should you choose an Independent Registered Investment Advisor or a Financial Advisor? Do you know the difference between them? Let’s look at some of the key differences between Registered Investment Advisors and Financial Advisors to help you decide what is right for you.
Some Financial Advisors work to sell you their products and services. We are different because our bottom line is you. Since we are independent and don’t make profits off selling, we can focus on our clients. We will work directly with you to help you every step of the way.
There are many benefits to working with an Indpendent Registered Investment Advisor (RIA) rather than a traditional Financial Advisor. RIAs are legally required by federal law to uphold fiduciary standards, and are legally required to go by the written code of ethics. These regulations and rules help ensure you have a financial advocate at your side.
RIAs make it easy for clients to pay them for their services. Independent RIAs often charge a fee based on assets under management or a simple flat fee for their services. There are no commissions or conflicts of interest.
There are Advisors of any title that can help you meet your future financial goals. However, Registered Investment Advisors have taken additional steps to ensure your confidence in them by undergoing examination and providing proof that they have the experience to provide you with the best investment solutions.
They are committed to staying on top of their field by continuing their education and take on a fiduciary duty. While working with an RIA, your needs are always at the forefront in their decisions, aligning your goals when it comes to your financial future.