CFP Board to Create Guidelines to Help CFP Professionals Meet Standards

Posted on June 28th, 2018 at 9:01 AM
CFP Board to Create Guidelines to Help CFP Professionals Meet Standards

From the Desk of Jim Eccleston at Eccleston Law LLC:

The Certified Financial Planner Board unanimously has approved its new Code of Ethics and Standards of Conduct. The revision will expand significantly the fiduciary duty requirement imposed on all CFP professionals.

More specifically, starting October 1, 2019, more than 80,000 CFP professionals will be required to place the interests of the client above the interests of the CFP professional and the CFP professional’s firm. In addition, CFP professionals will be required to obtain the client’s informed consent to a conflict of interest. Likewise, CFPs who are fee-based will be required to clearly disclose to clients that they earn both commissions and fees, or, are not fee-only advisors.

As a result of its new Code of Ethics, the CFP Board plans to create a commission, named the Standards Resource Commission. The Standards Resource Commission will provide resources to help advisors comply with the new Code of Ethics and Standards of Conduct. Those resources will include fact sheets, FAQs, videos, webinars and other documents.

The attorneys of Eccleston Law LLC represent investors and advisors nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of practice for financial investors and advisors including Securities FraudCompliance ProtectionBreach of Fiduciary DutyFINRA Matters, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

Related Attorneys: James J. Eccleston

Tags: james eccleston, eccleston law, eccleston law llc, eccleston, cfp, conduct

Return to Archive

TESTIMONIALS

Previous
Next

I am so blessed to have you and your dynamic team defending me. Your ethics, forward thinking and strategies are amazing.  You guys are the best group of attorneys in the country that I could hire to handle this complicated case.

Cindy C.

LATEST NEWS AND ARTICLES

October 27, 2021
Former LPL Advisor Suspended For Completing 22 Trades Absent Client Consent

The Financial Industry Regulatory Authority (FINRA) has suspended and fined a former LPL advisor who allegedly completed 22 trades on behalf of a client without obtaining written consent. FINRA has issued a $5,000 fine and has suspended Michael Hartlett for 10 days.

October 26, 2021
Former Advisor Fails To Reverse Bar After Alleged $1 Million Theft From RBC

A former RBC Wealth Management advisor lost his bid to reverse an industry bar, according to an appellate decision issued by the Financial Industry Regulatory Authority (FINRA).

October 25, 2021
Firms Walk Thin Regulatory Line In Referring Self-Directed Clients To Advisors

While online trading platforms have surged in popularity during the pandemic, brokerage firms view self-directed investors as a source of new clients.