Financial Advisor FAQ: Common Questions Answered
Overview
This page collects the questions people ask most often about financial advisors and about how our matching service works, with a direct answer to each. Every answer is written to stand on its own. For deeper explanations, follow the links into the guides below.
More detailed guides
For the full explanations behind these answers, see:
Frequently Asked Questions
- What is a fiduciary?
- A fiduciary is an advisor with a legal duty to act in your best interest. They must put your needs ahead of their own — the highest standard of care in the financial world.
- Is every financial advisor a fiduciary?
- No. "Financial advisor" is a broad term, and not everyone who uses it is a fiduciary at all times. It is wise to ask directly, "Are you a fiduciary?" Our service matches you only with vetted fiduciary advisors.
- How are financial advisors paid?
- There are three main models. Commission-based advisors earn money by selling products, fee-only advisors are paid only by you, and fee-based advisors charge you a fee and can also earn commissions. Always ask how an advisor is paid before you hire them.
- How much does a financial advisor cost?
- It depends on the advisor and service. Some charge a flat fee or hourly rate; others charge a yearly fee based on the money they manage, often around 1% of that amount, though it varies — and some use a combination. A good advisor shares fees in writing.
- Do I need a lot of money to work with an advisor?
- Not always. Some advisors set a minimum, but many work with people at different stages and income levels. The right fit depends on your needs, not just your account size.
- How do I check an advisor's background?
- Use free public tools. FINRA BrokerCheck and adviserinfo.sec.gov (the SEC's Investment Adviser Public Disclosure / IAPD site) let you review an advisor's history — on adviserinfo.sec.gov you can look up both individual advisers and firms — and the CFP Board lets you confirm the Certified Financial Planner mark.
- Is your matching service really free?
- Yes. There is no cost to you to use our matching service, and there is no obligation to hire any advisor we match you with.
- Do you give financial advice yourselves?
- No. We are a matching service, not an advisor. We connect you with a qualified fiduciary advisor who can give you advice directly.
- How do you choose the advisors in your network?
- We vet the advisors we work with and match you with fiduciary advisory firms aligned to your needs. We encourage you to confirm fiduciary status in writing and ask how the advisor is paid during your intro call.