Financial Planning & Collaboration

Financial advisor

Also known asFinancial plannerWealth advisor

Definition

A financial advisor is a professional who helps individuals or institutions plan, invest, and manage money. The term is broad and may include CFP® professionals, registered investment advisers (RIAs), broker-dealer representatives, insurance agents, and wealth managers — with widely varying credentials, fee structures, and standards of care.

By Olomon EditorialLast updated
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Key takeaways

  • “Financial advisor” is a generic title — always look up the underlying credentials and registrations.
  • RIAs are fiduciaries; broker-dealer reps are subject to Regulation Best Interest.
  • Compensation models vary: fee-only, fee-based, commission, AUM, hourly, flat retainer.
  • Verify any advisor at SEC IAPD (adviserinfo.sec.gov) and FINRA BrokerCheck (brokercheck.finra.org).

How Olomon thinks about this

Olomon makes the advisor relationship more efficient and more accountable. Advisors get permissioned access to a current household record; households get visibility into what the advisor is seeing and doing on their behalf. That symmetry is the foundation of a healthy long-term advisory relationship.

In-depth definition

Picking a financial advisor is one of the most consequential financial decisions a household makes. Credentials, fiduciary status, fee model, and specialization all matter — and the right answer for one family is wrong for another. A 35-year-old W-2 employee accumulating wealth has different needs than a 70-year-old retiree distributing it.

Frequently asked questions

  • Use SEC IAPD (adviserinfo.sec.gov) for investment advisers and FINRA BrokerCheck (brokercheck.finra.org) for brokers. Both show registration history, employment, and any disclosure events.

Sources

Primary, authoritative references.

  1. 1

    U.S. Securities and Exchange Commission

    Check Your Investment Professional

    Cited for: SEC verification resources

  2. 2

    Financial Industry Regulatory Authority (FINRA)

    Brokers and Advisors — FINRA

    Cited for: Investor verification of brokers

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Cite this page

APA
Olomon Editorial Team. (2026). Financial advisor. Olomon Financial Glossary. https://olomon.com/financial-glossary/financial-advisor

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