Why a Committee for the Fiduciary Standard?The Committee was formed in June 2009 by a group of investment professionals and fiduciary experts, just as policymakers and industry leaders were reviewing the repercussions of the financial crisis, to advocate that all investment and financial advice be rendered as fiduciary advice and meet the requirements of the five core fiduciary principles.
Five Core Principles:
• Put the client’s best interests first;
• Act with prudence, that is, with the skill, care, diligence and good judgment of a professional;
• Do not mislead clients--provide conspicuous, full and fair disclosure of all important facts;
• Avoid conflicts of interest;
• Fully disclose and fairly manage, in the client’s favor, unavoidable conflicts.
Monthly Archives: July 2009
July 29, 2009 The Committee for the Fiduciary Standard (the Committee) advocates enactment of federal law to extend the fiduciary standard to all investment professionals who provide investment advice or who hold themselves out as investment advisors. “The fiduciary standard” … Continue reading
July 28, 2009 SUMMARY Relatively little discussion has occurred to help policy makers and investors compare the differences and similarities, as currently required in law, between a fiduciary relationship and an arms length relationship. An arms length relationship requires a … Continue reading