The Department of Labor’s definition of a fiduciary demands that retirement advisors act in the best interests of their clients and put their clients’ interests above their own.
The Department of Labor (DOL) Fiduciary Rule was scheduled to be phased out between April 10th, 2017 to January 1st, 2018. This time frame was put in place to allow firms that were previously not acting as a Fiduciary to put practices in place to follow the new rules set in place by the DOL. Now, I ask investors, is it a shock that the advisors they have worked with may not have been looking out for their best interests? It is hard to believe that someone put in a position to manage your financial well-being may have only their interests in mind. Investors take the step to begin saving and investing for the goals and aspirations they have for themselves and their family to later find out from a true fiduciary that this product is not right for them. It is disheartening for so many investors to realize that this fiduciary rule is not already a standard throughout this industry.
The specifics of the courts dealings, the appeals, mandates and compliance issues are only there to cloud the fact that the large firms in this country can’t begin to understand how to truly understand and look out for their client’s best interests. They have appealed and argued this ruling from the start, knowing that the ruling would cost them money, time and resources to implement something they should have been doing from the start.
Now, how does the consumer know if the person they are working with is a fiduciary and looking out for their best interests? Ask these questions, if they give you a precise response, Investors should feel a level of comfort that they have your interests first. If not, you should begin to look for a fiduciary. It is crucial for your financial success that you work with someone who always puts your interests first.
- Define a Fiduciary
- Are you a Fiduciary?
- How are you paid?
- What credentials do you have?
For more information regarding these questions to ask, read our Red Paper – Why Hire a Fiduciary Advisor?
Public Sector Investor has been a true fiduciary since day one. We believe the concept of a fiduciary is so important that we wanted to provide all clients with our FiduciaryShield promise.
- Give 100% accurate, complete, straightforward and timely information about your investments.
- Act in your best interest when selecting, monitoring, and replacing investments in your portfolio
- Avoid conflicts of interest and disclose all material facts.
- Ensure that costs are fair and reasonable.
Our FiduciaryShield says that Public Sector Investor promises to be a true fiduciary to all our clients, current and future.