Updated October 9, 2026. Neither title is a license. In 2026 a person can call themselves a financial consultant or a financial advisor without passing an exam. The license and the standard of care are what matter.
- If they charge a fee for investment advice, they generally have to be an investment adviser representative of a registered investment adviser. That relationship is fiduciary: the advice has to be in the client’s interest.
- If they are paid a commission to sell a product, they are acting as a broker. Regulation Best Interest applies to that recommendation. It is not the same legal duty as an adviser’s fiduciary duty.
- A CFP certificant agrees to a fiduciary standard when doing financial planning, even if the person also holds a brokerage license.
Ask three things: Are you a fiduciary for this account? Are you paid a fee, a commission, or both? Which regulator, SEC or state, and which firm, is on your record? You can check the person on Investor.gov and on BrokerCheck.