The Best Fiduciary Financial Advisors of 2023

Not all companies and advisors are direct and upfront about their duties to clients or how they collect their fees, but that is not the case with Vanguard. With both its Personal Advisor and Personal Advisor Select services, the company openly advertises its fiduciary duty and the fact that its advisors are not paid in commissions.

Vanguard also stands out due to the affordable and transparent fees that it offers on its products. The Personal Advisor service, which includes a mix of advice from traditional advisors and robo-management, includes advisory fees that range from 0.35% to 0.40%.

Personal Advisor Select, which is aimed at clients with larger investments ($500,000 minimum), includes just a 0.30% advisory fee.

While the company does rank slightly below industry average in the J.D. Power Investor Satisfaction Study, its transparency about its fiduciary duties along with its low fees can make it a compelling option for investors.

One important factor to remember with Fidelity is that the company specifies that it acts as a fiduciary when serving as an investment advisor but not when acting in a brokerage capacity. However, Fidelity offers a bevy of investment advisory services, many of which include lower account minimums than some competitors.

Fidelity’s digital investment option includes a minimum of just $10, compared to the $3,000 minimum on Vanguard’s Digital Advisor. Fidelity Wealth Management’s eligibility generally requires an account value of $250,000, while Vanguard’s Personal Advisor Select requires double that amount.

The lower account thresholds may be attractive to clients who are looking for more accessible options, and they are still matched with robust services that stack up well against competitors. But one tradeoff is the possibility of higher advisory fees. Fidelity Wealth Management’s fees range from 0.50% to 1.50%, which are notably higher than Vanguard.

Financial advisors’ digital capabilities and online offerings are a key factor to many clients, and it’s one area where J.P. Morgan stands out. In addition to leading the pack in J.D. Power’s Digital Experience Study, the company’s mobile app holds a 4.8 out of 5 rating with over 6,000 reviews on the Apple App Store.

J.P. Morgan fields enticing benefits for new clients as well, including an offer of no advisory fee for the first six months of using their service. Pricing varies depending on not just what service you opt for, but the value of your account as well.

The company’s Personal Advisors option includes fees scaled by assets managed, ranging from 0.60% on smaller accounts to 0.40% on larger investments.

Private Client Advisors, a more high-end version of the company’s service that includes a dedicated advisor who can help you customize a plan versus working with a team of advisors, can range in fees from 0.70% to 1.45%.

While J.P. Morgan did score highly in digital experience, it also ranked below industry average in the J.D. Power Investor Satisfaction Study.

Robo-advisors are a growing sect of the financial advisor space, with many traditional companies offering automated options, along with standalone providers. Founded almost 15 years ago, Wealthfront is one of the older players in the industry, with a strong history of success.

According to the company’s website, portfolios with the most selected risk score have grown by 6.69% since 2011. Wealthfront allows users to customize their portfolio and investment strategies based on the types of investments they are interested in and the level of risk they are comfortable with.

It can be more affordable than opting for a traditional advisor as well, with an advisory fee of 0.25%. One natural drawback of opting for a robo-advisor is the loss of personal touch and real-time advice, which can come from working closely with a traditional advisor.