August 28, 2010
I believe investment advisors and stock brokers (and insurance brokers) should have a fiduciary duty to the client.
This is already required of real estate brokers.
The fields are similar in that
a) they are often commission based
b) the practitioner often has more information than the client and should use it for the client's good, not for their own advantage
c) decisions can have lifelong ramifications on the client's financial life, concurrently quality of life
The American public is already quite disappointed and distrustful of those that sell financial products.
I would not want to trust my money with someone who was not required to think of how to grow and protect my money, instead of how to make him/her and his/her firm the quickest buck.
I believe it is in the interest of the American people to ask for a higher ethical standard of investment advisors, and in the interest of the industry to support it if they want their business to grow.