US planners call for fiduciary standard of care
Calls have been made by financial planners in the US to follow Australia’s lead for advisers to adhere to a fiduciary standard of care when providing clients with investment advice.
The Financial Planning Coalition, which broadly represents 75,000 US planners, has called on Congress to support the Securities and Exchange Commission’s (SEC) efforts to establish a fiduciary duty of care and also to provide full funding for the agency to ensure investors are protected from other potential Bernie Madoff-like scams.
“The Coalition encourages Congress to support the SEC as it continues to build an appropriate record and moves forward with rulemaking on the fiduciary standard,” said National Association of Personal Financial Advisors Nancy Hradsky. “The extension of a fiduciary standard of care to all broker-dealers will build much-needed confidence among average American consumers whose faith in the financial markets is still shaken.”
The Financial Planning Coalition comprises of the Certified Financial Planner Board of Standards, the Financial Planning Association, and the National Association of Personal Financial Advisors. The Coalition advises legislators and regulators on how to best protect consumers by ensuring financial planning services are delivered with fiduciary accountability and transparency.
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