What is a Fiduciary?

Fiduciary (fi·du·cia·ry) stems from the Latin word fidere, which means “to trust.”  The definition of fiduciary, according to Merriam-Webster, is: relating to, or involving a confidence or trust. One can act in a fiduciary manner (adjective) or act as a fiduciary (noun). A fiduciary is trusted and relied on to act in the best interest of the client at all times. 

“A financial advisor who follows a fiduciary standard must disclose any conflict, or potential conflict, to their clients prior to and throughout the advisory agreement. Registered Investment Advisors (RIAs) are held to a fiduciary standard of care.  By law, they must act solely in the best interest of their clients.”
  -From the National Association of Personal Financial Advisors (NAPFA)

Read more from NAPFA here.

A recent article in The New York Times by reporter Tara Siegel Bernard posed the question “What kind of adviser should I work with”… “You’ll want to hire the type of financial adviser who promises to act as a fiduciary all of the time, with all of your money, which is a fancy way of saying that person must be loyal to you first. In fact, you should ask your financial planner to sign a fiduciary pledge, a promise not to profit at your expense.”

Read the full NY Times article here.

Baron Financial Group is a Registered Investment Adviser (RIA).  We are long-time members of NAPFA, and we sign a fiduciary oath for every client we serve. Advisors in our firm hold the CFP® and CFA® designations, as well as the NAPFA-Registered Financial Advisor designation. We work hard to educate our clients and the public about transparent- and objective-financial advice, where the client’s interests come first.

To learn more about Baron Financial Group and what it means to be a fiduciary, contact us at info@baron-financial.com.