What Does It Mean to Be a Fiduciary

Fiduciary duty represents the highest degree of trust and confidence that the investment advisor will act in your best interest.

Investment Advisors are governed by the Investments Advisers Act of 1940 and applicable 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 interest 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 suitable to the clients’ objectives, needs and circumstances
• Refrain from effecting personal securities transactions inconsistent with clients’ interests
• Be loyal to clients

An advisor will be measured against a higher standard of conduct than a broker.

How do I enter into a fiduciary relationship with my Financial Advisor?

Only after you and your advisor enter into an advisory agreement does the Financial Advisor have a fiduciary duty under the Investment Advisors Act. In such agreements, 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.

What will be the role of your Financial Advisor?

In advisory programs, your Financial Advisor will act as a consultant, helping you monitor performance and adjust your portfolio.

Advisory accounts are not designed for excessively traded or inactive accounts and may not be suitable for all investors. Please carefully review the Raymond James and Associates advisory disclosure document for a full description for our services, including fees and expenses. The minimum account size for these programs varies.