1) A person who is required to act for the benefit of another person on all matters within the scope of their relationship; one who owes to another the duties of good faith, trust, confidence, and candor. 2) One who must exercise a high standard of care in managing another’s money or property.
Simply put, a fiduciary is someone who is managing the assets of another person and stands in a special relationship of trust, confidence, and/or legal responsibility. A fiduciary is required by law to always act in the best interests of their client, beneficiary, or retirement plan participant. At Savant, this principle is a core value, guiding everything we do.
Our research indicates not all firms or individuals understand the relationships that exist in today’s investment community. Many firms portray themselves as fiduciaries, but do not act in the best interests of their clients. This practice has been very common in the brokerage industry – where firms make significant profits from selling products and receiving commissions.
When choosing an advisor it is important to know that they are a true fiduciary. Savant is a Registered Investment Advisor, which means we are required by law to act in our clients best interests. Our fiduciary policy goes beyond legal obligations – at Savant our success comes from our ability to offer fair and unbiased advice. We embrace and practice the Five Fiduciary Commandments:
1. Put interests of the client first.
2. To act in utmost good faith.
3. To provide full and fair disclosure.
4. Not to mislead clients.
5. To expose all conflicts of interest in a full and fair manner.
Check out our position paper "Fiduciary Matters: Relationships of Trust" for more information.