Definition
An advisor legally required to act in your best interest, not just to recommend suitable products. If you hire financial help, ask directly whether they are a fiduciary at all times and how they are paid.
Why it matters
The suitability standard permits recommending the fund that pays the advisor most; the fiduciary standard does not. One question (are you a fiduciary at all times, and how are you paid) filters most conflicts.
Example
A fee-only fiduciary planner charges a flat fee and recommends low-cost index funds. A commissioned salesperson, held only to suitability, can steer the same client into a high-fee product that pays a commission.
Related terms
This definition is educational, not financial, legal, or tax advice. U.S. rules and limits change; verify time-sensitive details with official sources. See our disclaimer.