- Best Practices
- Fiduciary September
- Frankel Prize
- Campaign for Investors
Webinar on Best Practices Affirmation Program
On July 18, 2017
Hosted by Garrett Planning Network, July 20, 11 am CDT
Sheryl Garrett, leader of the hourly financial planning movement, says Institute for the Fiduciary Standard program provides much-needed clarity to help investors know what to expect from a fiduciary advisor.
The Garrett Planning Network, will hold a webinar on the Institute for the Fiduciary Best Practices Affirmation Program.
Topics of discussion will include the following:
- What is the Institute for the Fiduciary Standard and why was it formed?
- What are Best Practices? How do Best Practices compare with CFPB standards?
- What is the Best Practices Affirmation Program and Why is it needed?
- How do advisors benefit?
The Best Practices are detailed on the Institute’s website:
Sheryl Garrett, in May, endorsed the Best Practices. In a brief statement, Garrett noted: “The public has been told they should work with a fiduciary, but what does this really mean to them? All advisors talk like fiduciaries. Only some advisors act like fiduciaries. The Best Practices Affirmation Program addresses this void. It provides much-needed clarity by showing investors what a Best Practice Advisor will do.”
Jane Bryant Quinn, a noted personal finance writer and author, underscores the importance of what fiduciaries must do, saying: “Fiduciaries disclose all fees including the fees associated with investment recommendations. They should have few or no conflicts (for any unavoidable conflicts); they disclose it in full and explain what it means.”
Best Practice Advisors SPEAK OUT
Best Practices Advisors speak out candidly about Best Practices and fiduciary:
Florida advisor Dan Moisand says in a video (link below) that the Institute’s Best Practices “Cuts though the bull.”
David Lewis, an advisor in Knoxville, points to the impact of trust when he says: “When clients (correctly) believe they get fiduciary, objective advice, their sense of security and wellbeing improves dramatically. They can focus on the substance of the advice, rather than guarding against the possibility of mishandled trust.”
Richard Stott, from Oslo, Norway adds to this point, saying: “A fiduciary approach ensures not only a proper return on investment, but an improved return on life.”
The Best Practices Affirmation Program has won the support of leaders in the advisory industry. When the program was announced last September, former SEC Commissioner, Luis Aguilar, stated, “Many investors view finance and financial advisors in a dim light. It’s important for the industry to take steps to improve this situation. Subscribing to and advocating for the Institute’s Best Practices is an excellent start.”
Skip Schweiss, Managing Director of Advisor Advocacy, TD Ameritrade Institutional, says: “An investment adviser affirming its adherence to Best Practices can really differentiate its standard of care with investors.”
Mark Tibergien, Chief Executive Officer and Managing Director, Pershing Adviser Solutions, says: “This is an excellent first step in clarifying expectations consumers should have in working with their financial professionals.”
Ron Carson, CEO of the Carson Group, says, “It’s our responsibility as advisors to answer the call for complete transparency….. the Best Practices Affirmation Program will play a fundamental role in that endeavor.”
For more information and commentary, please visit these links:
Video: Dan Moisand explains why his firm, Moisand, Fitzgerald, Tamayo, subscribes to Best Practices. See on the Institute home page: https://thefiduciaryinstitute.org/
Best Practice Advisors speak out: Why the fiduciary standard matters to clients https://thefiduciaryinstitute.org/wp-content/uploads/2017/03/Why-does-the-Fiduciary-Standard-Matter-to-Clients.pdf
About The Institute for the Fiduciary Standard
The Institute for the Fiduciary Standard is a non-profit formed in 2011 to provide research, education and advocacy on the vital role of fiduciary principles and practices for investors and the capital markets. Visit the website, here: www.thefidcuiaryinstitute.org.
About The Garrett Planning Network
The Garrett Planning Network has a nationwide membership with hundreds of independent, Fee-Only financial planners providing advice to people from all walks of life, without minimum account requirements, sales commissions, or long-term commitments. Members proudly embrace their fiduciary duty, always placing their clients’ best interests first. Visit the website, here: http://www.garrettplanningnetwork.com.
Tagged with: Best Practices Affirmation Program
The Institute for the Fiduciary Standard
Welcome to the Institute for the Fiduciary Standard!The Institute is a nonprofit formed in 2011 to benefit investors and society through its research, education and advocacy of the fiduciary standard's importance to investors, our capital markets and economy. Six key fiduciary duties embody the fundamental elements of an investment fiduciary’s responsibility. Read More
Why an InstituteThe rationale for an Institute for the Fiduciary Standard is straightforward: The fiduciary standard is important, representing ideas central to our form of government and free market economy; it is under significant pressures from market forces that could sharply limit its reach; no other entity is solely focused on preserving and promoting the fiduciary standard. More...
The 6 Core Fiduciary Duties
- ‣ Serve the client’s best interest
- ‣ Act in utmost good faith
- ‣ Act prudently -- with the care, skill and judgment of a professional
- ‣ Avoid conflicts of interest
- ‣ Disclose all material facts
- ‣ Control investment expenses
Best Practices Board
- Christopher Cannon, CFA
- William C. Prewitt, M.S., CFP
- Stephen D. Johnson, CFP©
- Knut A. Rostad, MBA
- General Counsel to the Best Practices Board: Daniel Bernstein
- Clark M. Blackman II, CFA, CFP, CPA/PFS