lWhat is a "Fiduciary Standard"?

The Investment Advisors Act of 1940 defines a "fiduciary standard", and mandates that all Registered Investment Advisors (RIAs) adhere to this standard.  As a fiduciary, an RIA is required by law to provide for clients a standard of duty and care that places the client's interests above their own.  In following this standard, an RIA must act in the client's best interests, and is required to eliminate, or at least identify to the client, any potential conflicts of interest.  Any advice rendered and actions taken by an RIA on behalf of a client must strictly follow these legal guidelines.

Investment industry professionals who are not registered as RIAs typically have a legal duty to act in their employer's best interests
.  Their required standard of conduct towards their clients is one of "suitability," which only requires that they make investment recommendations that are suitable in terms of the client's needs, objectives, and unique circumstances.  There is no legal requirement to put the client's interests first.

Coromandel Wealth Management (CWM) is an Investment Advisory Representative of Trust Advisory Group, Ltd. (Woburn, MA), a Registered Investment Advisor.  Thus, CWM fully adheres to all of the legal guidelines of RIAs as specified in the Investment Advisors Act of 1940, and we will always put our client's interests first.

                                      Coromandel Wealth Management    15 Muzzey Street    Lexington, MA  02421    (781) 728-9001               CWM © 2021