August 24, 2010
I am writing to encourage the SEC to adopt a fiduciary standard for all financial professionals who provide personalized investment advice. This issue is important to me as a Certified Financial Planner, as an adjunct professor teaching the CFP program, to my clients (financial advisors), to my clients' clients and to all investors.
Acting in the investors best interest is an important standard for any business but especially for investment professionals. Investors deserve that standard and they expect it.
Some have suggested that they method of compensation, fees or commissions, is an important distinction. Financial advisors are able to put their clients interests first however they are compensated and the compensation method need have no impact on the standard of care for the investor.
Please create a common fiduciary standard for all financial professionals who provide personalized investment advice.