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: October 2009
October 20, 2009 Wall Street Lobby Seeks to Cut out Critical requirements of Disclosure, Managing Conflicts and Controlling Expenses in its Standard for Brokers Giving Investment Advice, says The Committee for the Fiduciary Standard The Committee for the Fiduciary Standard, … Continue reading
October 20, 2009 Authentic “Prudence” is required Do not mislead; disclose all material facts (compensation, fees, expenses) in writing Control investment expenses Avoid conflicts, or disclose conflicts and always attain fully informed consent Managing conflicts in client’s interest Recognizes best … Continue reading