While the gossip of the moment is about the fiduciary standard, it’s important to realize that people can fall victim to bad financial advice, even from a fiduciary. Most fee-only financial planners are registered as investment advisers.
Every registered investment advisor (RIA) is required to file form ADV, which contains a lot of information. RIAs are also required to register with either a state regulatory office or the Securities & Exchange Commission.
These regulatory offices are responsible for ensuring that RIAs comply with federal and state laws. They should also be your first checking point to ensure:
- The person