What is an RIA firm?

A RIA firm, or Registered Investment Adviser firm, is a company that provides investment advice and financial planning services to clients. These firms are registered with either the Securities and Exchange Commission (SEC) or state securities authorities, depending on their size and assets under management. RIA firms have a fiduciary duty to act in their clients' best interests, offering personalized investment strategies and financial guidance. They typically charge fees based on assets managed rather than commissions, which helps align their interests with those of their clients.