It’s very important that you work with a financial advisor that pledges to act as a fiduciary.
You should hire a financial advisor that pledges to make recommendations that are in your best interest. Novel concept, right?! That’s why working with a fiduciary is so important.
Believe it or not, many financial advisors are required to recommend investment products that are merely suitable for you.
The language here is important. A very wide variety of investments could be considered suitable for you but that doesn’t necessarily mean that those investment products are in your best interest.
Here’s what this means. Many financial advisors can recommend investment products that compensate them differently when compared to other investment options. In other words, a financial advisor may have a choice between recommending investment option A and investment option B. If investment option B pays more commission to the financial advisor, they may be incentivized to recommend that option as opposed to investment option A. Both options could be considered suitable but there is clearly a conflict present.
As a fiduciary, Oak Road Wealth Management’s, fee is simply a percentage of the dollars we manage. We have no incentive to recommend any investment product vs. another because we don’t get compensated by investment products at all. That way you can have confidence that our recommendations are not influenced by our investment recommendations.