(February 8, 2017) Fiduciary Kansas City Business Journal
James Dornbrook, writer for the Kansas City Business Journal, examines the uncertainty of the fiduciary rule under the new administration. Below is an excerpt of the commentary by Sam Scott, President of Sunrise Advisors, in Mr. Dornbrook’s recent article:
For many fee-only financial advisers in the Kansas City area, the change doesn’t really affect them because they already were acting as fiduciaries ……….. Sam Scott, President of Sunrise Advisors in Leawood, said it’s already too late to reverse course on the fiduciary standard because the cat is out of the bag.
“The public is talking about it, and investment firms will have to answer to a more educated investor,” Scott said in an email. “To me, it is common sense that a financial professional should have to put their clients’ interests first. The more this is discussed in the open, and regardless of whether there is an official ‘rule’ or not, the more investors will see clear and distinct differences between a true fiduciary and a nonfiduciary.” To view the entire article, click here.
Sunrise Advisors has long been a proponent of a strict fiduciary rule, requiring investment professionals to place the interest of their clients first in all cases (for both retirement and non-retirement accounts). As Louis Brandeis, Supreme Court Justice, said, “Sunlight is the best disinfectant”. Bringing the fiduciary topic out in the open and encouraging transparency will ultimately benefit investors. With increased transparency, investors will likely decide that working with a full-time fiduciary, a “fee-only” and independent advisor, is in their best interest.