You will come across a lot of unfamiliar phrases as you learn how to navigate the financial world. In the financial industry, one of these terms is “fiduciary,” which refers to a person or business that has a legal obligation to work in your best interest. This means that when you work with a financial advisor under an advisory agreement, you have someone on your side who is dedicated to assisting you in reaching your financial goals.
What is a Fiduciary?
A fiduciary is a person or organization that is responsible for managing assets on behalf of someone else. This can include financial advisors, trustees, and other professionals who are legally obligated to act in the best interest of their clients. The fiduciary duty requires that the fiduciary act with the highest level of care, loyalty, and honesty when making decisions on behalf of their clients.
One of the key aspects of the fiduciary duty is the requirement for full disclosure. This means that the fiduciary must disclose any potential conflicts of interest that could impact their ability to act in the best interest of their clients.
What is Wealth Management?
Investment management, financial planning, and retirement planning are just a few of the services that wealth management companies frequently provide. They will collaborate with you to create a thorough strategy that takes into account your present financial condition, future goals, and risk tolerance.
Why is it Important?
When you work with a financial advisor, they will collaborate with you to create a specific financial strategy suited to your needs and objectives.
Another benefit is the amount of trust you build with them as you work towards your financial goals. This can be helpful in times of market turbulence or economic unpredictability.
Third reason is the level of expertise that they bring to the table. Financial advisors are typically licensed and experienced professionals who have a deep understanding of the financial markets. They can provide valuable insights and advice that can help you make informed decisions about your investments and financial plan.
Finally, a financial advisor can provide a high level of customization to your personal wealth management strategy. This may help you accomplish better outcomes and reach your financial goals.
Work with us
If you are interested in learning more about fiduciary wealth management, we would be happy to schedule a consultation with you. We first opened our doors in 1990, and since then, our commitment has been to provide a high level of professional guidance and personal client service. Our team at Cold Harbor Financial proactively addresses the needs of our clients, which has enabled us to build loyal and long-term relationships.
Contact us today to schedule a consultation and take the first step toward fulfilling your financial goals.
Opinions expressed in the attached article are those of the author and are not necessarily those of Raymond James. All opinions are as of this date and are subject to change without notice. This material is being provided for information purposes only and is not a complete description, nor is it a recommendation. There is no guarantee that these statements, opinions or forecasts provided herein will prove to be correct.
All investments are subject to risk, including loss. There is no assurance that any investment strategy will be successful. Asset allocation and diversification does not ensure a profit or protect against a loss. It is important to review the investment objectives, risk tolerance, tax objectives and liquidity needs before choosing an investment style or manager.
