Don’t Assume Industry Standards Are Always What’s Best
Don’t be so quick to simply accept what a financial advisor offers for your retirement — that’s the takeaway from multiple red flags since the 2008-09 economic crisis.
First, there’s an important difference between advice that’s “suitable,” called the suitability standard, and what’s best for an advisor’s client, called the fiduciary standard. As reported in PBS’s Frontline, just 15 percent of financial advisors met the “what’s best for the client” standard as recently as 2013. The majority fit into the suitable category — the bare minimum in professional qualifications — which … Read the rest