Earlier this week, Kathleen Pender wrote an article titled "Dodd bill punts on strict rules for brokers" in the Net Worth column of the San Francisco Chronicle addressing the lack of a fiduciary standard for stockbrokers.  It's a quick read, and sums up the reality of why it is hard to be optimistic that there will be meaningful regulatory reform in this area.  If you're not familiar with this issue and are currently using or seeking financial advice from a professional, it makes a lot of sense to educate yourself on compensation arrangements for financial advisors.

The article concludes with a recommendation to ask a prospective advisor whether he or she is required to act in your best interests.  Good advice.  To that I would add:  "How are you being paid to provide me with advice, and by whom?  Please list all sources".

Read the article here:  http://tinyurl.com/SFGateFidArticle.