What does it mean? Financial advisors who follow a fiduciary standard are required to put the needs of clients first. They must fully disclose how they are compensated, and any conflicts of interest they might have. Registered Investment Advisors (RIAs) have such a duty, and are registered with Securities and Exchange Commission. Members of the National Association of Personal Financial Advisors and Financial Planning Association have taken similar oaths or adhere to codes of ethics. The vast majority of brokers, however, many of whom work for the large brokerage houses, have no fiduciary duty. The commissions they earn for selling investments may lead them to promote their own company's products or ones that earn them the most money. Their loyalty is to their company first, not to you. Advisors with a fiduciary responsibility, however, forgo commissions and often are fee-only, meaning they charge a flat fee or charge based on a percentage of assets under management.

Why the buzz: This slightly arcane subject has taken on new importance in light of the market meltdown of 2008. Some of the stock brokers or other investment professionals on whom people relied for guidance in making financial decisions may have not provided the best advice (one of the charges in lawsuits against Bernie Madoff was "breach of fiduciary duty"). Brokers have the duty to ensure the "suitability" of investments for their clients, but critics say that standard doesn't necessarily restrict fee-laden investments or place clients in investments that correspond with their tolerance for risk. As a result, Congress is this week discussing how to introduce more transparency into the world of financial advice as part of the Investor Protection Act of 2009 and potentially bring all people who dispense investment advice under a fiduciary standard. Whether the job of creating new regulations for investment planners will fall to Congress, the SEC, or independent regulator, FINRA, remains to be seen. For advice on screening a broker, check Consumer Reports' advice here.–Chris Fichera