SIE practice questionmediumFiduciary Duty
An investment adviser owes fiduciary duty to their client. What does this require?
- AFollowing client instructions even if unsuitable
- BMaximizing firm profits
- CPlacing the client’s interests above their own✓ Correct answer
- DGuaranteeing investment returns
Explanation
Why C — Placing the client’s interests above their own
Fiduciaries must put client interests first. Maximizing profit can conflict; unsuitable trades violate suitability; guarantees are not allowed.
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