What are the different types of investment advisors?

In West Virginia, investment advisors provide services to investors to help them make sound decisions regarding their investments. Investment advisors can be registered with the United States Securities and Exchange Commission (SEC) or the West Virginia Secretary of State’s Office. There are three primary types of investment advisors: Registered Investment Advisor (RIA), Registered Representative (RR) and Financial Planners. Registered Investment Advisors (RIAs) are registered with the SEC and must meet certain qualifications regarding their knowledge and experience in the investment field. They must also adhere to a standardized code of ethics in order to provide advice to clients. RIAs must also register with the West Virginia Secretary of State’s Office. Registered Representatives (RRs) are brokers or dealers who sell securities and investment products to clients. They must be licensed with the Financial Industry Regulatory Authority (FINRA). RRs must adhere to the rules and regulations of FINRA and must pass a series of tests to become licensed. Financial Planners are individuals who provide advice to clients regarding investments, tax issues, personal finance and retirement planning. They must have a thorough understanding of investments and financial markets and must often be certified by a recognized organization. Financial Planners do not have to be registered with the SEC or FINRA, but they must be familiar with the applicable regulations. Investment advisors provide a variety of services to investors, but they must adhere to certain laws and regulations in order to provide advice. It is important for investors to understand the different types of advisors and the qualifications that they must have in order to provide legitimate advice.

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What are the different types of investment advisors?

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