What is the process of matching financial products to a consumer known as?

The process of matching financial products to a consumer is known as assessing suitability. This term refers to the method of evaluating a consumer's financial situation, goals, and preferences to ensure that the recommended financial products align with their needs and circumstances. Assessing suitability is a critical aspect of providing responsible financial advice, as it helps to ensure that the consumer is being offered options that are appropriate and beneficial for their specific financial profile.

This process typically involves gathering relevant information about the consumer, such as their income, expenses, risk tolerance, investment objectives, and any existing financial commitments. By doing so, financial advisors can tailor their recommendations to ensure that the products not only meet regulatory standards but also serve the best interests of the consumer, fostering trust and promoting positive financial outcomes.

While factfinding relates to the initial stages of understanding a consumer's situation, and fitness may refer to the general concept of appropriateness, it is the comprehensive nature of assessing suitability that distinguishes it as the most precise term for this process of aligning financial products with consumer needs.