How are our incentives aligned?
- A RIA works in an unbiased paradigm where her incentives are aligned with that of the client unlike a distributor business model where commissions could guide the advice.
- A Fee-Only Financial Planner avoids conflict of interest by earning nothing else from your investments, from any other source.
- An RIA is not in the distribution business, and hence does not receive any commission.
- An RIA will focus on understanding client goals and come up with a financial plan to meet realistic goals using products suitable to fulfill those goals.
- An RIA will generally suggest a Direct Plan over a Regular plan to minimize the cost of the investment.