What Is an Accredited Investment Fiduciary (AIF)?

The fiduciary standard is a symbol of trust for financial advisors, signaling that they’ll always put their clients’ best interests ahead of their own. In investment management, where professionals often have direct influence and control over portfolios and strategy, this is especially crucial.

But how can you be certain that an advisor is a fiduciary when they manage your portfolio? One way to identify a high-quality investment expert is by their possession of the Accredited Investment Fiduciary (AIF) designation.

In this article, we’ll explain what the AIF title means, describe what experts with the designation do, detail the steps to become one, and guide you on how to find a qualified professional.

AIF Definition

Accredited Investment Fiduciary (AIF) is a professional credential offered by Fi360 that recognizes an expert’s deep understanding and commitment to the fiduciary standard. It is accredited by the ANSI National Accreditation Board (ANAB), which, according to Fi60, makes it one of the more prestigious titles a financial advisor can earn.

While many other credentials, such as Certified Financial Planner (CFP) or Chartered Financial Consultant (ChFC), require advisors to agree to uphold strong ethics, AIF professionals distinguish themselves by studying and deepening their understanding of the fiduciary duty. This means they’ve been trained to put their clients’ interests first, practicing with integrity and care.

Becoming an AIF

To earn the AIF designation, candidates must complete a training course, exam, and meet experience and ethics requirements. Eligibility is granted by meeting specific professional experience and education criteria:

• At least two years of relevant experience while already holding a bachelor’s degree and a professional designation.
• At least five years of relevant experience and a bachelor’s degree or a professional designation.
• At least eight years of relevant, industry-adjacent experience.

If eligible, candidates can enroll in one of Fi360’s available AIF training courses:

• $1,950 for the hybrid in-person/online capstone course or virtual, instructor-taught course.
• $1,595 for the completely online, self-paced course (to be completed within 180 days).

Below is a more detailed overview of the education and ethics requirements necessary to earn the AIF designation:

Education and Exam

As part of the process to earn the credential, prospective designees must complete a training program. As noted above, individuals can determine their pace of learning and instructor involvement, opting to take the course with an in-person capstone class, a hybrid option, or an online version under the supervision of a proctor.

Per Fi360’s website, the course covers:

• Fundamentals of the fiduciary duty
• Structuring a successful client-advisor relationship
• Creating and delivering a “formalized” investment strategy
• Implementing an investment strategy for a client with due diligence
• Monitoring the results, fees, and providers of the investment plan
• Fi360’s Prudent Practices fiduciary responsibility methodology

After completing the course, candidates must take the exam to earn the AIF designation. The exam is closed-book, includes 80 multiple-choice questions, and is timed in 120 minutes. To pass, students must receive a score of 70%.

Ethical Standards

Candidates must also fulfill an ethics requirement before gaining the AIF title. This includes agreeing to follow Fi360’s Code of Ethics and Conduct Standards. The former specifies how an AIF titleholder must conduct themselves upon earning and working under the designation with clients and other professionals. The latter outlines what constitutes a violation of the fiduciary duty and the guidelines set by the issuing organization, as well as the consequences of breaking any ethical or professional standards.

Who Should Hire an AIF?

While it’s always critical to hire a fiduciary financial advisor, the AIF title signals a commitment to learning about the fiduciary responsibility and how to apply it effectively. Through Fi360’s specialized training, AIFs get exposure to building investment plans that are suitable, compliant, and aligned with their clients’ goals.

Additionally, the AIF credential requires significant professional experience, often years of education and on-the-job practice. Candidates may also need to carry another designation to demonstrate expertise. Therefore, advisors with the AIF mark may have a strong background in investment management and client-facing advisory work, making them a high-quality choice among their peers.

How to Find an AIF

AIF professionals often work a variety of roles in the financial advice industry. They may own independent registered investment advisor (RIA) firms or work at larger firms with more resources and clients. Due to their expertise in the fiduciary standard, they could also work in compliance roles, either at advisor firms or as consultants.

AIFs may also hold other reputable titles, such as Chartered Financial Analyst (CFA), CFP, or ChFC. All these credentials can signal a professional’s skill sets and narrow down the right one for you, whether they work in investment management, financial planning, or another area.

If you’d like to find a fiduciary professional near you, we recommend using a free matching tool, such as this one. After answering a few questions about your goals and situation, it’ll connect you with a vetted professional either in your area or online.

You can also use resources such as the following to look up or research professionals and vet their credentials:

• The National Association of Personal Financial Advisors (NAPFA)
• FINRA’s BrokerCheck lookup tool
• SEC Investment Adviser Public Disclosure (IAPD) database
• FeeOnlyNetwork.com

Frequently Asked Questions

Is an AIF like a CFP?

AIF designees are like CFP professionals in that they receive training in investment strategy and must uphold strict ethical standards. However, the AIF title has a specific emphasis on learning about the fiduciary duty and its impact on clients, gaining a deep understanding of its implications.

There is some overlap between the roles, especially because the CFP includes expansive education and experience to achieve. And it’s entirely common that an expert may carry both titles. But just as the CFP title marks strong knowledge of financial planning and topics, the AIF designation signifies a technical knowledge of the fiduciary duty and its importance in the industry.

Do AIFs have to receive continuing education?

AIF professionals must complete a continuing education requirement of six hours each year to maintain their certification. This is a typical way for financial advisor credentialing organizations to ensure their professionals stay current on relevant laws, trends, and methodologies.

How much does it cost to hire an AIF?

The cost to hire an AIF as a financial advisor client can vary. Ultimately, it depends on the service you receive and the relationship you have with the expert. For investment management, it’s common for professionals and firms to charge around 1% of the assets they’re managing for you. For financial planning, it can be customary for advisors to use flat-fee or retainer structures of varying amounts. An AIF professional, or their firm, may use one or both structures.