Registered investment advisor (RIA)

Registered investment advisor (RIA),

Definition of Registered investment advisor (RIA):

  1. A firm or individual who is registered at the state level and/or with the Securities & Exchange Commission (SEC) to give investment advice and manage the investments of individual investors.

  2. A Registered Investment Advisor (RIA) is a person or firm who advises high-net-worth individuals on investments and manages their portfolios. RIAs have a fiduciary duty to their clients, which means they have a fundamental obligation to provide investment advice that always acts in their clients' best interests.

  3. As the first word of their title indicates, RIAs are required to register either with the Securities and Exchange Commission (SEC) or state securities administrators.

How to use Registered investment advisor (RIA) in a sentence?

  1. A registered investment advisor (RIA) manages the assets of individual and institutional investors.
  2. Paid much like portfolio managers, RIAs usually earn their revenue through a management fee comprised of a percentage of assets held for a client (typically 1% per year of AUM).
  3. As a buy-side investment service and fiduciary, RIAs must register with the SEC and state regulatory agencies.

Meaning of Registered investment advisor (RIA) & Registered investment advisor (RIA) Definition