What is the fiduciary duty of a municipal advisor towards an issuer?

The fiduciary duty of a municipal advisor towards an issuer is primarily encapsulated in the duty of loyalty. This duty requires the advisor to act in the best interests of the issuer at all times. In a fiduciary relationship, the advisor must prioritize the issuer's interests above their own or those of any third parties. This means the advisor should refrain from engaging in any actions or making recommendations that would benefit themselves or others at the expense of the issuer's interests.

The duty of loyalty also implies full disclosure of any conflicts of interest that may arise and mandates that the advisor must not engage in self-dealing or exploit their relationship with the issuer for personal gain. By adhering to this duty, the advisor fosters trust and ensures that the issuer receives guidance that is genuinely designed to benefit their financial and strategic goals.

The other duties mentioned, while important, do not encapsulate the essence of the fiduciary relationship as effectively as the duty of loyalty. The duty of transparency relates to the way information is shared but does not inherently place the advisor's interests secondary to those of the issuer. The duty of advocacy suggests a more active role in promoting the issuer's objectives but does not capture the inherent obligation to prioritize the issuer's best interests. Similarly, the duty of representation