An investment advisor is a person or firm that will help clients find the right financial commitments. The advisor must have innovative techniques, as well as the knowledge of the financial sector. There are categories that an investment advisor may fit into. These categories are investment advisors who offer direct advice to a person or business, and advisors who offer asset management like hedge fund advice. The investment advisor will charge a fee for services rendered. This fee is determined on what advice they are offering and how long the process takes.
In the United States an investment advisor is going to be regulated by the Security and Exchange Commission. The commission will ensure the investment advisor is offering sound advice. They also have a cap as to the amount of assets that receive advice or management services. Common examples of advisors also include pension fund managers, mutual fund managers, and trust fund managers.