If Financial Firms Support a Best Interest Standard Why do they Encourage Harmful Advice?
Broker-dealers and insurers insist that they want their “financial advisors” to act in their customers’ best interests. So why do these firms pay their advisors more to recommend products that cost the customer more? And why do they pay their advisors more to recommend higher risk and less liquid investments? No firm that truly wanted its advisors to put the customer’s interests first would pay them this way.
