What is an Registered Investment Adviser?

RIA stands for Registered Investment Adviser and it is an investment firm that is “Independent”. By being independent, an RIA is not obligated to try to sell the products of their firm/ employer. Thus, an RIA has the freedom to find the best solutions to meet your needs. RIAs must adhere to a fiduciary standard of care as laid out in the Investment Advisers Act of 1940, as amended. This standard requires RIAs to act in the best interests of their clients. RIAs owe a fiduciary standard of care to their clients. This fiduciary standard of care is the highest standard within the investment industry. A Fiduciary is expected to be extremely loyal to the person he/she owes the duty, placing personal interests aside. This “Fiduciary Duty” that RIA firms legally have to their clients is a reason that many clients choose to work with RIAs.