CFP Board Considers Tougher Standards To Look Better to the Public

Posted on February 4th, 2021 at 9:30 AM
CFP Board Considers Tougher Standards To Look Better to the Public

From the Desk of Jim Eccleston at Eccleston Law LLC:

In its quest to become a regulator for financial planners and others. CFP Board has announced the formation of another new committee tasked with reviewing and updating its sanction guidelines and fitness standards. This committee follows the board’s previous efforts to respond to public criticism of perceived shortcomings in its enforcement process. As a result, advisors may face more onerous standards of conduct, as well as stiffer penalties for violating those standards of conduct.

The new committee will consist of 15 members, CFPs regulators, and executives. After receiving feedback from the public and industry, the committee will make recommendations to the CFP Board.

CFP’s Board has been restructuring its enforcement process and undertaking changes within its organization in response to criticism in recent years. The CFP Board has made changes, such as adding BrokerCheck and SEC advisor links to its publicly accessible database.

CFP’s goal is to maintain the trust of the broader public by ensuring advisors holding its designation comply with the board’s requirements. The board will accept public comment on any revisions before adopting new changes. Once the new changes are implemented, the committee will be disbanded.

Eccleston Law LLC represents financial advisors nationwide, including defense of CFPs subject to CFP Board inquiries. Please contact us to discuss any issues that you may have.


Tags: eccleston, eccleston law, CFP board, tougher standards

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Jim, Stephany and the whole team were a God send.  We felt like we were put into a situation where we had no advocate. Jim’s team came in with a strong, well laid out strategy on how to get our story heard. Where our outside compliance company had no ability to help, our Broker Dealer was impenitent, and the regulators were aggressive pursuing vague rules, Jim came like a barricade against an assault we did not understand. Though you pay member dues to be affiliated with FINRA and a B/D, you have no voice. The only thing that is truly heard in this un-level playing field is a bulldog’s bark like Jim’s. I would encourage anyone to call Jim and his team to find a real ally in the tough and complicated world of securities regulation. They are truly the best.

Greg P.


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