Five Star Quality Rating

Paladin uses a proprietary methodology to rate the quality of financial advisor credentials, ethics, and business practices one to five stars. Paladin only profiles five star rated advisors in the Registry.

Paladin ratings are based on data that are submitted by advisors. We validate the accuracy of certain data if advisors subscribe to Paladin's Financial Advisor Due Diligence (FADD) service. If advisors do not subscribe to the FADD service Paladin publishes data as submitted by advisors.

Paladin's five star quality rating and FADD service do not constitute an endorsement, recommendation, guarantee, or favoring by Paladin of any advisor and do not constitute a claim by Paladin, whether explicit or implicit, that advisor credentials, ethics, business practices, products, services, opinions, advice, recommendations, or claims are reputable, honest, competent, or will result in exceptional financial returns. Investors are solely responsible for advisor selection decisions that may be based on information that is published in the Paladin Registry. Investors are encouraged to request additional, current information from advisors that validates their competence, ethics, business practices, and services.

Who are the Best Financial Advisors?

They are not the advisors who bought you a "free' lunch or invited you to attend a "free", no strings attached seminar. They are not the advisors who buy free drinks at the bar or have the lowest handicaps at a local country club. And, they are not the advisors who are members of social clubs or churches so they can meet you.

Except for playing good golf, these popular tactics are used by lower quality, sales reps. Higher quality financial advisors do not resort to these deceptive tactics for two reasons:

They don't have to use sales tactics to meet new clients. High quality advisors receive referrals from satisfied clients who introduce them to friends, family, and associates.
The best advisors don't have great sales skills or the best personalities. In general, these are the characteristics of lower quality advisors who rely on sales skills to grow their businesses.
Higher quality advisors are frequently intellectual, analytical, and quantitative. Not exactly the traits of advisors who are one of the 'good old boys '.

Do yourself a favor. The next time you select a financial advisor pick the quiet, introspective professional over the flashy, high octane, self-proclaimed investment guru. You will have a lot more money later if you select advisors based on a careful review of their:

Education (degrees, majors)
Financial services experience (more is better)
Certifications & Designations (CFA®, CIMA®, CFP®, and CPA/PFS® are best)
Memberships in associations with substantial continuing education requirements (CFA Institute, NAPFA, FPA)
Compliance records (FINRA and state securities commissioners)
Fiduciary status (yes)
Method of compensation (fees are best)

You have to minimize the impact of advisor personalities and sales skills. They have nothing to do with investment expertise and high ethical standards. The victims of the Bernie Madoff and Allen Stanford scams would have a lot more money if they followed this simple rule. The most dangerous advisors have great personalities and hidden agendas that are very different than yours.