How to know if your financial advisor is a trustee
LAFAYETTE, Ind. (WLFI) -Is your financial advisor a Trustee? Or are they just trying to sell you a product? Our financial expert says there is a way to find out if you are working with someone who has your best financial interests in mind.
“They are client focused and they focus on providing the best advice and some people even have a license which means by law they have to act in the best interest of the client,” said Nick Royer, consultant Master Register.
This license held by a trustee is called an investment advisory license.
“The license says you have to act in that person’s best interest or you lose your license and they take a test to act as a trustee,” Royer said.
However, if they don’t have that license, Royer says there are some tactics you, as a customer, can take.
“They are focused on selling, their goal is to sell a product and sometimes they even call themselves financial advisers, but literally what they do is just look at the product,” Royer said.
That’s why Royer says it’s important for your financial advisor to look at all aspects of your financial health.
“They don’t just say, ‘I’m going to look at this play, oh you got the money, let me invest it for you. “They’re going to look at all the other things that can get you into financial trouble and make sure there is a plan to avoid those things too,” Royer added.
Some fiduciary advisers charge fees for advice or investments. But Royer says that if they have their investment advisory license, they are obligated to act in the best interests of their clients.