Custody The CFP Board believes forcing an investment adviser which requires custody of client assets to explain to clients that most investment advisers do not impose this requirement infers this is either a problematic situation, or at worse an unethical one. Such an explanation has the potential of unnecessarily frightening clients into becoming concerned about their investment adviser. As long as investment advisers provide full disclosure of issues such as the nature of the relationship, the methods of compensation, any potential conflicts of interest, and any prior disciplinary activity, the CFP Board believes this proposed rule is unnecessary to protect consumers. The CFP Board believes that including professional designations and certifications is very beneficial to consumers. Consumers need information on the investment adviser's background in the financial services industry.
Financial planners can help consumers meet life goals and achieve financial well-being.
Life goals can include buying a home, funding a child's education, passing along a family business, or planning for the years after retirement. It allows one to understand how each financial decision affects other areas of personal finances. Very often, but not always, financial planning involves investment advice. Consequently, consumers seeking financial planning will at the same time often be seeking investment advice. The CFP Board believes that consumers should take every step possible to assure the investment advice they receive is provided by someone who is competent and trustworthy.