Aaron Cirksena, the founder and CEO of MDRN Capital, emphasizes the importance of finding a true fiduciary advisor in the financial services industry. While the term “fiduciary” is commonly used, it is crucial for investors to ensure that their advisor prioritizes their clients’ interests over their own. Some advisors may claim to be fiduciaries but may still have their own agendas. Cirksena provides recommendations on how to identify honest and trustworthy advisors who genuinely want to help clients make the best financial decisions for their goals.
The Securities and Exchange Commission (SEC) outlines the responsibilities of a fiduciary advisor as duty of care and duty of loyalty. However, the broad definition of a fiduciary can be interpreted in various ways, leading to potential conflicts of interest. True fiduciaries go beyond regulatory requirements and develop long-term plans for clients based on their individual needs, goals, and priorities. They provide a personalized and holistic approach to financial planning, coordinating investment plans with tax and estate plans to offer the best service possible.
When searching for a financial advisor, investors should watch out for red flags that may indicate that the advisor is not a true fiduciary. These warning signs include advisors who boast being 100% fee-based fiduciaries or those who adamantly oppose certain types of investments. Cirksena believes that advisors should educate clients on all available options and not let their biases influence investment decisions. He advises investors to explore opportunities that align with their needs and compensate the advisor without taking money out of the client’s pocket.
To find a true fiduciary advisor, Cirksena recommends doing thorough research on potential advisors by checking online reviews and reaching out to them for more information. Investors should ask questions about the advisor’s approach, request references from current clients, and assess the overall service level provided by the advisor. It is essential to find an advisor who can add value to one’s financial life and address specific needs, such as tax assistance, legacy planning, or mortgage advice. Ultimately, investors should feel comfortable and trust their advisor, as they play a significant role in shaping their financial future.
In conclusion, finding a true fiduciary advisor is vital for investors seeking honest and trustworthy financial guidance. By following Cirksena’s recommendations, investors can identify advisors who prioritize their clients’ interests and provide personalized and holistic financial planning services. A true fiduciary advisor serves as a financial partner, offering options and insights to educate and empower clients at every stage of their financial journey.
