A Financial Advisor acting as a fiduciary is bound both legally and ethically to place their client’s best interests ahead of their own. Invesment Advisors are governed by the Investment Advisors Act of 1940 and applicable state securities laws, which govern conduct and disclosure requirements, creating a high legal standard referred to as “fiduciary” duty.

As a fiduciary, your investment advisor has the duty to:

• Make full and fair disclosure of all material facts, particularly where the advisor’s interests may conflict with the client’s

• Have a reasonable, independent basis for their investment advice

• Obtain best execution for clients’ securities transactions where the advisor is in a position to direct brokerage transactions

• Ensure that investment advice is appropriate to the client’s objectives, needs and circumstances

• Refrain from effecting personal securities transactions inconsistent with client’s interests

• Be loyal to clients

Investment Advisors acting as Fiduciaries typically charge their clients a flat fee per year, or an annual percentage based upon their client’s total assets. 

How do I Enter into a Fiduciary Relationship with a Financial Advisor?

Only after you and the firm enter into an advisory agreement, does the Financial Advisor have a fiduciary duty under the Investment Advisers Act. In such agreements, the firm and your Financial Advisor explicitly acknowledge an advisory relationship and obligations to you. When acting as your investment advisor, we provide you with disclosure documents about our advisory services. In advisory programs, your Financial Advisor will act as a consultant, helping you monitor performance and adjust your portfolio on an ongoing basis.

Are our Advisors Fiduciaries to our Clients?

Our Advisors have the ability to act as a fiduciary for our clients that choose to work with us in a fee based relationship in our investment advisory programs. For more detailed information, request a consultation below, or call us directly.

Advisory accounts are not designed for excessively traded or inactive accounts and are not appropriate for all investors. Please carefully review the Wells Fargo Advisors advisory disclosure document for a full description of our services, including fees and expenses. The minimum account size for these programs is between $10,000 and $250,000.