Revised Ethics Code for Financial Planners

Ethics Code for Financial Planners--Smartpros

The Certified Financial Planner Board of Standards (CFP Board) has updated its standards with the redone standards starting next July. Standards include key topics to discuss with potential clients, disclosures required in a financial planning engagement and a requirement to emphasize the client's best interests. Karen Schaeffer of the CFP Board says that the updated standards send a strong message of accountability and trustworthiness to potential clients.

There are a number of organizations, including the AICPA, which provide professional designation for financial planners--probably all have some form of ethical code. The CFP Code asks the right questions--it is not clear whether it does a better job of policing ethical behavior than other designators of financial planners.